Due date for filing Income Tax Return (Form C/ Form C-S)
Companies filing Form C are required to file their financial accounts, tax computation and relevant supporting documents together with Form C by 30 Nov of each year. For example, in the year 2013, these companies will have to file Form C, financial accounts for the accounting year ending in 2012, tax computation and relevant supporting documents for Year of Assessment (YA) 2013 by 30 Nov 2013.
From YA 2012, qualifying companies will enjoy a simplified way of tax filing using Form C-S, instead of Form C. Form C-S is a shortened 3-page tax return for small companies to report their income to IRAS. Companies filing Form C-S are not required to submit financial accounts, tax computation and supporting schedules with the form. However, they are still required to retain and submit them to IRAS upon request. The due date for e-Filing of Form C-S is extended to 15 Dec. For paper filing of Form C-S, the due date remains as 30 Nov. Find out more on Filing Form C-S.
Checklist to guide companies in filing Form C/ Form C-S
The following checklist is to guide companies in filing of Form C/ Form C-S:
1. Preparation of Accounts - Please prepare:
- Financial accounts in accordance to the Companies Act and they should comprise:
- Directors’ report
- Auditor’s report (except for companies that enjoy audit exemption*)
- Balance sheet
- Profit and loss statement
- Notes to the accounts
- Statement by Directors
- Detailed profit and loss statement
2. Preparation of Tax Computation and Supporting Schedules
- Prepare tax computation
- Collate all relevant donation receipts to support claims if you have not given your tax reference number to the IPCs
3. Completion of Form C/ Form C-S
Common tax reliefs and deductions for companies
1. Productivity and Innovation Credit (PIC) Scheme
2. Corporate Income Tax Rebate for Years of Assessment 2013 to 2015
3. Tax Exemption Scheme for New Start-Up Companies
4. Concession for Enterprise Development - Tax deduction for expenses incurred prior to commencement of business
5. Renovation and Refurbishment Costs - Tax deduction under Section 14Q
6. Capital Allowances
7. Loss Carry-Back Relief System
8. Carry Forward of Unutilised Capital Allowances, Losses and Donations
A case study illustrating how companies can lower their tax burden by claiming the various tax concessions can be found here .
1. Exemption of Foreign Sourced Income
2. Retrenchment costs incurred in the process of streamlining business operations and to improve company’s profitability are tax deductible.
3. Interest and other borrowing costs, which are incurred as substitute for interest expense or to reduce the interest costs, for the purpose of financing business operations are tax deductible.
4. Donations made to an approved Institution of a Public Character (IPC) or the Singapore Government that benefit the local community will qualify for 2.5 times tax deduction. Companies do not need to declare such donations in their Form C/ Form C-S for YA 2013, as the tax deduction for approved donations will be automatically reflected in the company’s tax assessment based on information from the IPC.
5. View the mistakes commonly made by companies in their income tax filing and their tax computations.
Income tax implications arising from the adoption of the Singapore Financial Reporting Standard (“SFRS”) for Small Entities
With effect from 1 Jan 2011, eligible entities may prepare their financial accounts using the Singapore Financial Reporting Standard for Small Entities (“SFRS for SE”). IRAS has studied the tax implications arising from the adoption of the SFRS for SE. Based on current applicable tax rules and principles, the impact on tax computation is assessed to be minimal for eligible entities which prepare financial accounts based on the SFRS for SE, except for the treatment for financial instruments. Other items for which tax adjustments are required are the treatment for property, plant and equipment, research and development cost and borrowing cost.
For details, please refer to the Income tax implications arising from the adoption of the SFRS for Small Entities (132KB).
Workshops and seminars for companies
Company representatives who are responsible for the preparation of Form C filing and other corporate tax matters are encouraged to sign up for a free one-day Corporate Tax Seminar conducted by IRAS.
Companies can find out about the seminar dates and registration details under the ‘News & Events’ > ‘Workshops & Seminars
’ section of the IRAS website.