In the Singapore 2024 fiscal budget, the government has introduced a “Enterprise Support Package,” allocating SGD 1.3 billion to support businesses. This includes a 50% corporate tax rebate aimed at reducing business costs and promoting sustained economic growth.
Companies will receive a Corporate Income Tax (CIT) rebate of 50 per cent, capped at S$40,000, for 2024. For companies that are not profitable, minimum cash payouts of S$2,000 will be disbursed to businesses with at least one local employee in 2023.
Corporate Income Tax in Singapore
All expenditures or profits invested in Singapore are subject to income tax unless specifically deducted in the Income Tax Act.
Singapore’s corporate income tax rate is one of the lowest in the developed world at 17%.
Singapore implements a unified corporate income tax policy for domestic and foreign companies, and both local and foreign companies need to pay tax on their income in Singapore.
Estimated corporate income tax filing date
Report within three months of the financial year end date.
If the fiscal year ends on 31 December 2021, the estimated corporate tax should be filling by 31 March 2022.
Final income tax filing date
Complete electronic filings by November 30 of each tax year.
Assuming the fiscal year ends on 31 December 2020, the fiscal year is the 2021 tax year, and the final tax needs to be submitted electronically before 30 November 2021.
Requirements for submitting tax calculations
Tax calculation refers to the statement of taxable income after tax adjustments are made to accounting profits.
The scope of tax adjustments includes non-deductible expenses, non-taxable income, further deductions and capital allowances.
Companies that meet the requirements for submitting Form C should conduct tax calculations each year before preparing to fill in Form C (FORM C), and need to be accompanied by Form C (FORM C), audited/unaudited financial statements, tax calculation forms and The supplementary schedule is submitted to the tax office.
