Corporate Tax Singapore: What Tax Submission Deadline Should You Know?

Doing business in Singapore means your company must comply with all the relevant regulations and laws. Corporate tax rules, for example, are especially important as they directly impact your company’s bottom line. 

In this article, we will provide you with essential information about filing corporate tax in Singapore to ensure that you are compliant with the local legislation. We will also share how InCorp’s competent tax team can assist you with filing.

Important Singapore Corporate Tax Submission Deadlines

Who Must File Corporate Tax in Singapore?

According to the Singapore Income Tax Act 1947, all companies in Singapore must pay corporate taxes regardless of their tax residency status. Corporate tax will also be imposed on chargeable income obtained from Singapore or foreign-sourced income remitted to Singapore.

What is the Corporate Tax Rate in Singapore in 2024?

Singapore’s corporate tax rate for 2024 is a flat 17%. 

How to Reduce Company Tax in Singapore

There are several tax reduction schemes and tax incentives that eligible companies can benefit from, such as:

• Start-up tax exemption scheme 
• Partial tax exemption scheme
• Corporate Income Tax (CIT) rebate for YA 2024
• CIT rebate cash grant

We detail them below:

Start-up Tax Exemption Scheme

This scheme applies only to qualifying new companies for the first 3 consecutive Year of Assessment (YA)s and is used to support entrepreneurship and grow local enterprises. Under this scheme, companies can receive a 75% exemption on the first S$100,000 of normal chargeable income, and another 50% exemption on the next S$100,000 of normal chargeable income.

They must meet these conditions before they can be eligible for the exemption:

• Be incorporated in Singapore
• Be a Singapore tax resident for that YA
• Have total share capital held beneficially and directly by a maximum of 20 shareholders throughout the basis period for that YA. The shareholders must be: 
  • Individuals
  • At least 1 shareholder must be an individual with at least 10% of the issued ordinary shares of the company

Partial Tax Exemption Scheme

All companies in Singapore, including companies limited by guarantee, are eligible for this scheme. Companies can receive a 75% exemption on the first S$10,000 of normal chargeable income and an additional 50% exemption on the next S$190,000 of normal chargeable income.

CIT Rebate for YA 2024

A CIT rebate for YA 2024 was announced in Budget 2024. It involves a rebate of 50% of the corporate tax payable for all taxpaying companies, regardless of tax residency, for YA 2024.

CIT Rebate Cash Grant

Companies that have employed at least 1 local employee in 2023 will get a cash payout of S$2,000. The CIT rebate cash grant is meant to provide support for smaller companies which would otherwise have received little to zero CIT rebate. This cash grant is not taxable.

When to File Corporate Tax

The income generated by a company in a particular FY will be assessed and taxed the next year. This following year is called the YA. At your company’s financial year end (FYE), you must prepare its accounts and tax returns.

You can choose an FYE to determine your company’s financial year. The FYE can be any date in the calendar year. However, most companies choose 31 December for their FYE, or the last day of every quarter. If your FYE is not 31 December, you must inform the Inland Revenue Authority of Singapore (IRAS).

Understanding the Types of Corporate Tax Returns

There are two main types of corporate tax returns in Singapore, which are:

1. Estimated Chargeable Income (ECI)
2. Form C-S/Form C-S (Lite)/Form C

ECI

The ECI is an estimate of your company’s profits that will be taxed after deducting tax-allowable expenses. Your company must state its revenue together with the ECI.

Your company can enjoy ECI exemption if it fulfils these conditions:

• Your FY’s revenue does not exceed S$5 million
• Your company’s ECI is nil in the YA
• Falls under the entities specifically not required to file ECI

Form C-S/Form C-S (Lite)/Form C

This is the corporate income tax return for the declaration of your company’s actual income. This form offers a more detailed breakdown of your company’s financial health as compared to the ECI report. After the FYE, you have 11 months to prepare and file the respective form with IRAS.

How to File Corporate Income Tax Returns

You can follow these steps to file corporate tax in Singapore:

1. Login to MyTax Portal with your company’s Corppass
2. Follow the instructions provided by IRAS to file ECI or Form C-S/Form C
3. Click on “Corporate Tax” on the menu bar and choose “File ECI” or “File Form C-S/Form C”
4. Follow the instructions provided by IRAS and start filing

Remember that you can file the tax returns yourself or authorise a third-party in Corppass to provide them access to file taxes on your company’s behalf.

What Happens After Filing Corporate Tax Returns

IRAS will send you the Notice of Assessment (NOA) by 31 May of the following year after it reviews your company’s corporate tax returns. This NOA provides a detailed statement of your company’s tax liabilities and acts as an opportunity for your business to object to the tax assessment.

If you do not raise any objections, you must pay the corporate tax within 30 days from the date of the NOA. Payment can be made via telegraphic transfer (TT), interbank GIRO, cheque, or internet banking.

File Corporate Income Tax in Singapore With InCorp 

Now that you understand the process of filing corporate tax returns and what happens after, it may seem like a daunting task. Our experienced team of tax professionals will guide you through the entire process and ensure that your company complies with all necessary regulations and requirements set by IRAS. 

We also offer additional advisory services to help optimise your company’s tax position and minimise any potential liabilities.

About the Author

Mabel Ng

With over two decades of experience in direct and indirect taxation, Mabel has honed her expertise across a broad spectrum of environments, including the Big 4 accounting firms, mid-tier firms, and various industry roles. Her extensive background spans not only Singapore but also the wider Asia-Pacific region, reflecting a deep understanding of diverse tax landscapes and practices. She is also a member of the ISCA and FCCA, and is an SCTP Accredited Tax Practitioner.

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