Corporate Tax Filing Season 2017

REMINDER: All companies, including those that had not carried out any business activities in the financial year or are in a loss position[1], must e-File their Corporate Income Tax Returns for YA 2017 by 15 Dec 2017, or 30 Nov 2017 if they paper file.

Did you know that more companies can now use the Simplified Tax Return (Form C-S)? From YA2017,  Singapore incorporated companies with annual revenue of not more than S$5 million can qualify to file Form C-S if they also meet these qualifying conditions.

FYI, companies that file Form C-S do not need to submit their financial statements and tax computation. These documents should be retained and only submitted to IRAS upon request.

Tax Saving Tips for Companies

• Corporate Tax Rebate: 50% tax rebate for 2017, subject to a cap of $25,000. Companies need not factor in the CIT rebate when filing their Corporate Tax Return as IRAS will automatically compute and apply the tax rebate.
• Renovation and Refurbishment (R&R) Costs: Tax deduction for qualifying expenses on R&R works such as general electrical installations and fixed partitions. Tax deduction will be granted on a straight-line basis over three consecutive YAs, subject to an expenditure cap of $300,000 for every 3-year period.
• Capital Allowances (CA): Capital allowances are deductions claimable for the wear and tear of qualifying fixed assets such as industrial machinery and office equipment.

For NEW Companies

• Tax Exemption Scheme for New Start-Up Companies
  For each of the first three consecutive YAs from the date of incorporation, qualifying companies can enjoy:

             >> Full tax exemption on the first $100,000 of chargeable income, and
             >>50% tax exemption on the next $200,000 of chargeable income.

• Expenses Incurred Before Commencement of Business
  To provide relief to start-ups which may take a longer time to generate revenue, companies are allowed deduction for revenue expenses incurred one year prior to the first day of the accounting period that the company earns its first dollar of revenue.

For assistance in filing  your corporate tax, please feel free to contact us. Just fill out below form and we will get in touch with you.

More info available here.

[1] Excludes dormant companies that have been granted waiver of Income Tax Return submission.