Definition of terms used in flowchart
“Taxable supplies” include local sales of goods and services, export sales and provision of international services. The following are excluded:
1) Sales and leases of residential property (exempt supplies)
2) Supplies of financial services (exempt supplies)
3) Out-of-scope supplies
“Out-of-scope supplies” mainly refer to sales which the goods did not enter Singapore and goods in transit. For example, a sale where the goods are delivered directly from China to India is an out-of-scope supply.
“Taxable turnover” refers to the total value of all taxable supplies made in Singapore in the course or furtherance of business. For the purpose of determining your liability for GST registration, the sale of capital assets and financial services that are also international services should be excluded from the computation.
Note 1 - In the event that the intention to make taxable supplies did not materialise, input tax claimed previously will be withdrawn if the Comptroller is not satisfied that you have firm intention to make taxable supplies from the start. When your GST registration is cancelled, you are required to account for deemed output tax if the value of your taxable assets on hand including stock and non-residential properties (for which input tax has been allowed previously) is more than S$10,000.
Note 2 - You must be certain that the turnover for the next 12 months will not be more than $1 million. Your effective date of registration will be backdated to the time your liability arose should your turnover be more than $1 million within the next 12 months.