Singapore’s structured business environment demands strict adherence to rules. Small companies often face fines due to simple mistakes that can be prevented with awareness. Below are the key compliance issues and how to stay compliant.

Don’t Miss Filing Deadlines

One major mistake is missing ACRA annual returns or IRAS tax filing deadlines. These are mandatory, and delays lead to penalties.

Annual returns must be filed within seven months of the financial year-end. Tax returns are due by November. Consistent misses can result in legal trouble. Use a calendar or corporate secretarial services to manage filings.

Appoint a Company Secretary

Every Singapore company must have a qualified company secretary within six months of incorporation. This role ensures compliance through filings, resolutions, and record updates.

Not appointing a secretary or using someone without skills risks fines. Secretarial services can take on this role if your team is stretched thin.

Update ACRA on Changes

Changes like new directors, address updates, or share issuances must be reported to ACRA, usually within 14 days. Failing to report risks fines or director liability if records don’t align.

Notify your secretary or service provider as soon as changes occur to maintain compliance.

Keep Records Up to Date

Companies must maintain records, including shareholder and director registers, meeting minutes, and resolutions. Many startups neglect this, assuming it’s low priority. Missing records can complicate audits or funding, and ACRA can issue penalties.

Designate someone to manage records or rely on secretarial services to keep them in order.

Know Your AGM Obligations

Private companies can avoid Annual General Meetings if they send financial statements to shareholders within five months of the financial year-end. If this doesn’t happen, an AGM is required. Misunderstanding this can lead to compliance breaches.

Check your AGM status with your secretary each year to avoid mistakes.

File Taxes, Even With No Profit

A common error is thinking no tax filing is needed without profit. All companies, even dormant ones, must file annual returns with IRAS. Skipping this risks fines or deregistration.

Consult an accountant or corporate secretarial services to ensure timely filings, including for zero-income returns.

Maintain a Valid Address

Your company needs a Singapore address, accessible three hours daily on business days. Using an unsuitable address or failing to update it can lead to missed notices and fines.

Corporate secretarial services often provide compliant registered address options for businesses without a physical office.

Avoid DIY Compliance Errors

Handling compliance yourself may save costs initially, but mistakes like incorrect filings or missed deadlines are common without expertise. Correcting these can be costly.

Secretarial services ensure compliance is done right, minimizing risks.

Compliance Keeps You Fine-Free

Singapore’s rules are straightforward but demand diligence. Fines often come from minor errors. Review your filings and records regularly, and consider corporate secretarial services for support.

Stay proactive to prevent penalties and keep your business on track.