Frequently Asked Questions Your questions answered

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Covering All Elements Of Company Formation And Much More

ContactOne offers various types of services for business owners and aspiring entrepreneurs in the Singaporean market. If you wish to set up a company in Singapore and looking for a corporate service provider for assistance, we are delighted to hear from you.

On this page, we have answered several frequently asked questions about our business so you can start working with us.

What is IR8A?

Form IR8A is a report on each individual employee’s earnings which must be submitted to IRAS annually by a deadline stipulated by IRAS.

What are Year of Assessment and Basis Period?

Put simply, the year of assessment is the year your income derived throughout the basis period is assessed and taxed. The basis period refers to the period during which your income is derived. For a company with financial year ending 30 Jun 2018, the Basis Period will be 1 Jul 2017 – 30 Jun 2018, and the Year of Assessment will be YA2019.

When must I file for my personal income tax?

For personal income tax, you will need to file for tax by the 15th of April every year. The basis period assessable will be the full calendar year for the previous year. Example: Your YA2018 tax assessment will be based on income derived from 1.1.2017 to 31.12.2017.

When must my company file for corporate income tax?

For corporate tax, you will need to first furnish IRAS with an estimated chargeable income (ECI) within 3 months from the financial year end of the company. You will then be required to file for tax by 30 Nov of the year of assessment.

Example 1: Your financial year end is 31.12.2017. You will need to submit your ECI by 31.03.2018 and file for tax for YA2018 by 30.11.2018.

Example 2: Your financial year end is 30.06.2018. You will need to submit your ECI by 30.09.2018 and file for tax for YA2019 by 30.11.2019.

What is the benefit of filing ECI to IRAS?

A company needs to file ECI to IRAS withing 3 months from the close of the accounting year. It is actually a legal requirement for companies to file ECI. The main benefit of early filing of ECI is to enjoy the instalment plans granted for tax payments if you file early. Do apply for GIRO arrangement with IRAS beforehand to enjoy the instalment plan scheme.

File by 26th of 1st month after Financial Year End = 10 instalment periods
File by 26th of 2nd month after Financial Year End = 8 instalment periods
File by 26th of 3rd month after Financial Year End = 6 instalment periods

What is GST?

GST stands for Goods and Services Tax which is an indirect tax on domestic consumptions, similar to VATs of other countries. The GST tax rate is currently at 7%

Do I need to register for GST?

It is a compulsory requirement for you to register as a GST registered trader if your business turnover exceeds/or will exceed S$1 million. You can also apply for voluntary GST registration if your turnover is not expected to exceed $1 million.

You may wish to consider the taxation services offered by ContactOne.