Find out how to adhere to the rules and guidelines in Singaporean companies for new joiners or employees new to HR. Understand what works, keep your company ship-shape. Find out what you need to do to secure regulatory compliance and keep your business on the right track. This comprehensive guide keeps you in the loop and on the safe side, ensuring nothing slips under your radar.
Content Outline
Best Practices for Singaporean Businesses
Singapore is famous for its strict regulation. This state city has their own law and order system, and to make sure you don’t lose any money or land yourself in any legal trouble, make sure to follow these rules when setting up shop here. Pursuant to Section 176 of the Singapore Companies Act, all businesses are required to submit yearly statements to both ACRA and IRAS.
A Snapshot of Penalties for Non-compliance
| Type of Breach | Penalties Amount (SGD) |
|---|---|
| Delayed AGM | Late lodgement fee of S$500 |
| Delayed AR (within 3 months after due date) | Late lodgement fee of S$300 |
| Delayed AR (post 3 months after due date) | Late lodgement fee of S$600 |
| Late Lodgements (other than AR) | Between S$50 to S$350 (based on the extent of delay) |
| Late or non-filing of corporate income tax returns | Composition sum up to $5,000 |
Understanding Late Lodgement Fees
Under the Companies Act 1967, they are required to notify ACRA on certain changes. This includes business address changes, changes of officer details and directorial appointments/resignations — which were already implemented for some of these changes at the end of last year. If you do not comply with these reporting instructions, there are penalties.
Non-compliance is more than just paying late filing fines. Furthermore, it could result in both the Company and Officers of the Company being guilty of an offence under the Companies Act 1967. Violators of these laws can face tough penalties under the ACRA, such as fines and imprisonment for more serious cases.
And we’ve only scratched the surface! To know the distinction between these costs and the conceivable outcomes of non-conclusion of yearly return recording, read more here .
Best Practices for Maintaining Regulatory Compliance
Stay updated on regulatory changes: Regularly monitoring company policies and complying accordingly.
Keep accurate records: Keep track of all the paperwork for your company such as the accounting records, yearly return, minutes of the director’s meetings etc.
Seek professional help: You should consider asking for advice from company secretaries, as well as other accountants that are familiar with regulatory issues.
Plus these are charged per day that you are overdue in delivering your statement after your end of financial year date — so the longer you delay delivering your return to us, the more these fees accumulize.
For more comprehensive and in-depth understanding of these regulatory practices, here are some useful resources:
ACRA (Accounting and Corporate Regulatory Authority): Stay updated on rule changes and regulatory compliance direct from the regulator itself. Find out more here.
IRAS (Inland Revenue Authority of Singapore): Learn about your business’s tax responsibilities and figure out the rules for filing corporate income tax returns. Learn more here.
Singapore Companies Act: You should be familiar with these provisions in the Companies Act 1967 so that your business remains compliant. Read more here.
Concluding Thoughts
These are instances where neglecting non compliance aspects (e.g. not having a AGM, late filing for financial reports and failure to update promptly on your company particulars) will have repercussions leading to punitive fines.Hiring a professional can be invaluable here. That’s where our team FastLane helps you—we make sure that every one of your documents are correct and filed on-time so that you can focus on your business expansion without worrying about compliance stuff.
Contact FastLane Group For Company Secretary Services Now !
Owning a small business requires constant dedication and attention, plus these compliance rules are intricate and can chew up valuable time quickly. Let FastLane Group handle your compliance, freeing you up to excel in your core business and drive growth. Our skilled team will also handle secretarial tasks that include the good upkeep of statutory record keeping and timely adherence to Singapore’s rules and regulatory requirement. Our extensive range of corporate services are tailored to fit your bespoke requirements. Regulatory compliance should never hold back your business. Reach out to FastLane Group and allow us to take compliance off your plate.