Taxation

1When do I need to register for GST?
GST registration is required only if:
• Turnover is more than S$1 million for the past 12 months; or
• Turnover is expected to exceed S$1 million for the next 12 months
Please see details in An Introduction to Singapore Taxation.
2Are there any benefits in registering for GST voluntarily?
A company may decide to voluntarily register for GST, depending on the profile of their customers, suppliers and type of goods/services. Please see details in Should I voluntarily register my company for GST.
3What are personal income tax rates in Singapore?
The Singapore personal income tax rate is progressive, and ranges from 2% to 22%. If the individual does not satisfy the residency criteria, he or she will be treated as a non-resident of Singapore for tax purposes. The employment income of non-residents is taxed at flat rate of 15% or the progressive resident tax rates, whichever is higher. Please see details in An Introduction to Singapore Taxation.
4What are the tax incentives/reliefs available to me?
All companies deemed to be of Singapore residency can enjoy partial tax exemption. Tax exemption schemes are also available for new start-up companies. Please see details in An Introduction to Singapore Taxation.
5What is taxable income?
The Inland Revenue Authority of Singapore ("IRAS") defines taxable income as:
(a) gains or profits from any trade or business;
(b) income from investment such as dividends, interest and rental;
(c) royalties, premiums and any other profits from property; and
(d) other gains that is revenue in nature.

A company is liable to pay tax in Singapore for income that is accrued or derived in Singapore or received in Singapore from outside of Singapore.

Capital gains (such as gain on sale of fixed assets) are not taxable.
6Are government grants taxable?
Grants given to companies for the purpose of acquiring capital assets are deemed to be capital in nature, and therefore not taxable.
Conversely, if the nature of the grant is to defray operating costs or supplement trading receipts, these grants are taxable, unless exemption from tax is provided under the provisions of the Singapore Income Tax Act.

Incorporation

1What are the different business structures in Singapore?
There are various business structures available for aspiring business owners. Please see details in Business Structures in Singapore.
2Can a foreigner be a director of the Company?
Yes. However, the company must have at least one director who is a resident of Singapore. Please see details in Incorporation – What do you need?.
3What is the minimal start-up capital?
The minimal start-up capital is $1. Please see further details in Incorporation – What do you need?.
4I am a start-up. What are the business structures available to me, and how are they different?
An overview of common business structures for start-ups are available in An Overview of Common Business Structures among Start ups.
5Must the Director of the company also be a shareholder?
No. A director and shareholder can be of a different person.

Accounting Matters

1Why should I outsource my accounting and bookkeeping functions?
Outsourcing provides business owners with a sensible and affordable alternative to ensure that bookkeeping needs and compliance requirements are met. Please see details in Outsourcing as an Alternative.
2What are the audit exemption criteria?
Please see audit exemption criteria in Audit Exemption - New Small Company Concept
3Do I need to file financial statements?

Corporate Compliance

1How often must I conduct an Annual General Meeting (AGM)?
Singapore companies are required to conduct an AGM once every calendar year. Please see details in Corporate Compliance – An Overview.