All Singapore private limited Company is subject to staying compliant with Accounting and Corporate Regulatory Authority (“ACRA”). Annual filings are mandatory for both active and dormant Singapore companies.
Failing to regularly meet ACRA ongoing compliance requirements in a timely manner can have consequences.
Every Singapore Company needs to hold its Annual General Meeting (AGM) every calendar year and its financial statements are to be tabled at the AGM for the shareholders’ approval.
The Singapore Companies Act (Cap.50) states that every company is required to hold the Annual General Meeting (“AGM”):
EXCEPTION: Newly incorporated companies are allowed to hold the first AGM within 18 months from the date of incorporation.
An AGM can be:
The following matters are discussed in an AGM:
Where an AGM is held, directors of the company are required to lay before the shareholders, the relevant documents such as the company’s annual financial statements compiled in accordance with the Financial Reporting Standards of Singapore which must consists of:
Note: Section 201 of the Companies Act states that the financial statement must not be more than 6 months old from the date of the AGM.
A company is not required to prepare an audited report if:
Note: Section 201 of the Companies Act states that the financial statement must not be more than 6 months old from the date of the AGM.
The company which meets with the above requirements can prepare an unaudited report which is commonly known as directors’ report. Audited reports must be prepared if the Company has:
Note: A company is considered dormant during a period in which no accounting transaction occurs. Dormant companies can be exempted from preparing audit reports, but will still be required to prepare unaudited report.
