Singapore is a hub for business in Southeast Asia, with a reputation for being one of the most business-friendly countries in the world. However, starting and maintaining a business in Singapore comes with a set of requirements and fees that companies must be aware of. In this article, we will explore the various registration and compliance fees that Singapore companies need to pay, as well as the cost of incorporating a company in Singapore.
Incorporating a Company in Singapore
The first step for any business looking to set up in Singapore is to incorporate a company cost. Singapore’s regulatory environment is well-organized, and the process of incorporating a company is relatively straightforward. However, there are costs involved.
The cost of incorporating a company in Singapore varies depending on the type of company you wish to set up. For instance, the cost of setting up a private limited company ranges from SGD 500 to SGD 1,500, depending on whether you use a professional services firm or go through the process on your own. Other types of companies, such as sole proprietorships and partnerships, have lower incorporation costs, but they also come with their unique set of legal and financial obligations.
Once your company is incorporated, you will need to pay a range of registration fees to various government bodies. These fees are essential to ensure that your company is compliant with Singapore’s laws and regulations.
Annual Filing Fees
All companies incorporated in Singapore are required to file an annual return with the Accounting and Corporate Regulatory Authority (ACRA). The filing fee varies depending on the company’s share capital, and whether the return is filed on time or late. For instance, the fee for filing an annual return on time for a company with a share capital of up to SGD 10,000 is SGD 60. If the return is filed late, the fee increases to SGD 300.
Goods and Services Tax (GST) Registration Fees
If your company’s taxable turnover exceeds SGD 1 million per year, you are required to register for GST in Singapore. There is a registration fee of SGD 30 for this.
Intellectual Property Registration Fees
If your company is seeking to register trademarks, patents, or other forms of intellectual property in Singapore, there are registration fees associated with these processes. These fees vary based on the type and complexity of the registration.
In addition to the registration fees, companies in Singapore are also required to pay compliance fees. These fees are associated with maintaining compliance with Singapore’s laws and regulations.
Annual Audit Fees
All companies incorporated in Singapore are required to have their accounts audited annually. The fees for this audit depend on the size and complexity of the company’s financial statements.
Singapore has a low corporate tax rate, but companies still need to pay taxes on their income. The tax rate for companies is currently 17%.
As discussed in this article, some of the key fees that Singapore companies need to pay include annual filing fees, business license fees, work pass application fees, intellectual property registration fees, audit fees, taxation fees, and corporate secretarial fees. These fees can add up over time, and companies need to factor them into their budgets.