If you have failed to file or filed late
While the majority of taxpayers file their taxes on time, without any enforcement action, each year, a minority fails to do so. Those who have failed to comply with their filing obligation will be penalised.
If the company does not file the Form C, audited/unaudited accounts and tax computation by 30 Nov, IRAS may take the following actions:
Issue an estimated Notice of Assessment (company will have to pay the tax amount based on IRAS’ estimated Notice of Assessment within 30 days)
Impose a penalty for not filing
Issue a Section 65B(3) notice to the director
Summon the company/director to Court
Take legal actions (Where penalty may be twice the tax amount assessed by IRAS)
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What should I do if I receive an estimated Notice of Assessment
An estimated notice of assessment can be received by you in two instances. When ECI is not filed by the due date or when Form C, Accounts and Tax computation are not filed by 30 Nov.
When you receive an estimated assessment for not filing your ECI:
Please pay the estimated tax within 30 days from the date of the Notice of Assessment (NOA). It is important that you pay the estimated tax even if you disagree with the tax amount or you intend to object to the assessment. Otherwise, your payment will be considered late and there will be penalties for late payment.
If you disagree with the estimated tax assessment, you may file an objection via myTax Portal. Alternatively, you may write to our Corporate Tax Department at ctmail@iras.gov.sg or fax no. : 6351 4360. Please do so within 30 days from the date of the NOA.
Please indicate “Objection to Estimated Tax Assessment” as the header of the objection letter and state clearly the following points:
- Grounds for objection
- Reasons for not furnishing ECI within 3 months after the end of the accounting period
- Company’s ECI for relevant YA (No need to submit draft account and tax computation unless requested by tax officer).
File your objection letter without further delay so that the estimated tax can be revised. You must send the objection letter within 30 days from the date of NOA, to expedite the finalization of the assessment.
When you receive an estimated assessment for not filing Form C, accounts and tax computation by 30 November:
Please pay the estimated tax within 30 days from the date of the Notice of Assessment (NOA). It is important that you pay the estimated tax even if you disagree with the tax amount or you intend to object to the assessment. Otherwise, your payment will be considered late and there will be penalties for late payment.
If you disagree with the estimated tax assessment, you may file an objection via myTax Portal. Alternatively, you may write to our Corporate Tax Department at ctmail@iras.gov.sg or fax no. : 6351 4360. Please do so within 30 days from the date of the NOA.
Please indicate “Objection to Estimated Tax Assessment” as the header of the objection letter and state clearly the following points:
- Grounds for objection
- Reasons for not furnishing the Form C, accounts and tax computation by the filing due date (30 Nov).
Please note that the estimated tax will not be revised pending the submission of the Form C, Accounts and Tax computation even though an objection is submitted.
- File your full set of returns with the objection letter as the cover letter without further delay so that the estimated tax can be revised. You must attach the objection letter to your set of returns even if you have previously submitted it within 30 days from the date of NOA, to expedite the finalization of the assessment.
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What should I do if I receive an “Offer of Composition for Failure to File Form C and/or Certified/Audited Accounts and/or Corporate Tax Computation”
Please refer to the following sections of our website for more information on filing the relevant documents:
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Can I appeal for the composition fee to be waived
We recognise that sometimes unexpected events that prevent the company from meeting their filing obligations on time may occur. Therefore, we do reduce or waive composition fees, if the delay in filing is due to circumstances beyond the company’s control.
Each appeal is unique and will be considered on a case-by-case basis. You may be asked to substantiate your claims with documentary evidence.
However, where the company is deemed to have made no reasonable effort to meet the due dates, IRAS will not allow the appeal. These are examples of instances where IRAS cannot accept an appeal:
This is not the first time the company has filed late;
Company claims Form C was not received;
Company cites a change in management/accountants as a reason; or
- Company’s documents had to be sent overseas for company’s directors to sign.
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What should I do if I receive a “Notice Pursuant to Section 65B(3) of the Income Tax Act”
- File the outstanding documents within 35 days from the date of the Notice to avoid being summoned to Court
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What should I do if I receive a Summons notice
If we do not receive the required documents and/or the composition fee by the due date, a summons will be issued to the company and/or the director to attend Court on a specified date.
In Court, the company director / representative will have to take a plea after the charges are read. Upon conviction, he will be fined up to $1,000. He is still required to file the outstanding documents. Otherwise, further prosecution actions may be taken.
If you wish to avoid attending Court, please do the following at least one week before the Court date:
- File the outstanding documents. To request a form, please call 6356 7012; AND
- Pay the summons fee using the enclosed payment voucher.
Please note that the company’s representative, even if it is the director, is required to attend Court with a Letter of Authority.
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What legal actions may be taken against the company for not filing a tax return
If the company, without reasonable excuse, has a tax return that is outstanding for two years or more, it will upon conviction in Court, have to pay:
- A penalty that is twice the amount of tax that IRAS may assess for that YA; AND
- a fine of up to $1,000
Example:
Your company’s YA2012 tax return, that was due on 30 Nov 2012, is still outstanding on 1 Dec 2014. IRAS, based on available information, assesses your company’s YA2012 tax to be $100,000. Therefore, upon conviction in Court, the company would be ordered to pay, a penalty of $200,000 and a fine of up to $1,000. This is on top of having to pay the tax of $100,000.
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How do I file the Form C, audited/unaudited accounts and tax computation
To file Form C:
For current Year of Assessment
You can either:
- e-File Form C if you have been authorised as an “Approver” for “Corporate tax matters” via EASY; or
- Send via post. You can download a duplicate copy of Form C or call 1800-356 8622 to request a copy.
For previous Years of Assessment
You can download a duplicate copy of Form C or call 6356 7012 to request a copy.
To submit audited/unaudited accounts and tax computation:
Please send by post to:
Comptroller of Income Tax
Revenue House
55 Newton Road
Singapore 307987 Back to top
How do I pay the Composition Fee
Please use the payment voucher enclosed with the IRAS letter, to pay the composition fee:
Important Notes:
- To check if your payment has been credited, please log in to myTaxPortal and select "View Account Summary" after three working days.
- If you pay the composition fee without filing your tax return, prosecution action may be taken.