SINGAPORE NEW COMPANY REGISTRATION PROCEDURE

B C Shetty & Co, Chartered Accountants

Company Formation Procedure

. Promoters

Check Name

availability

Look for location of company

Submission of MOA and AOA

along with other documents * to

ACRA**

All the documents needs to be signed in front of Certified Public Accountant or a solicitor in Singapore.***

•* Directors details along with ID proof and residential proof. One of the Directors should be resident of Singapore• Shareholders details along with ID proof and residential proof

***To execute outside Singapore, the same should be signed in front of notary of such country

**ACRA- Accounting and Corporate Regulatory Authority

*Certificate of Incorporation will be obtained

after a week

Commencement of Business

Opening of bank

account

Appointment of Secretary within Six

months of incorporation*

Board Meeting

Company Formation Procedure – Contd.

*Company Secretary shall be a locally resident individual

Documents Required

Memorandum & Articles of Association of the proposed company

Name of proposed Directors along with residential proof and ID proof

Name of the shareholders along with residential proof and ID proof

Copy of passport and Identity card Paid up capital should be

Minimum- One share in any currency

Maximum share capital - unlimited

Post Incorporation Compliances

An Annual general meeting is to be conducted within 18 months of Incorporation and subsequently within 15 months from previous AGM

Income tax return to be filed before 30th November each year with Inland Revenue Authority of Singapore

Accounts are to be filed with ACRA complying with Financial Reporting Standard

An audit is mandatory if the turnover of the company is more than S$ 5M and if the company's shares are held by corporate entity

Benefits

- Lower Corporate tax at

17%

- Rebate for first 10,000 75% exempt, next 290,000 50%

exempt.

- For start up companies with

individual shareholding of at least 10%, there is a tax concession for the first three assessment

years, whereby there will no tax on income up to

S$1,00,000.- Capital Gain is exempt from tax

If the local turnover of the

Company exceeds S$ 1M, company has to register with GST authorities and collect 7% and

remit to the Govt. They can offset all input

taxes. On exports, there is no GST and Govt

would refund input tax

suffered where applicable

Employment Passes

For an Employment Pass, the monthly fixed salary should be at least S$3,000 along with any one of below qualifications:

-- Acceptable educational qualifications -- Professional qualifications -- Specialist skills

The application of the Singapore Employment Pass can only be submitted after the incorporation of a company. 

Person possessing Singapore Employment Pass will be considered as local resident director

Professional Fees

Particulars Amount ($)

Cost of Floating of the Company(filing fee, secretarial kit and professional fee)

$ 1,400

Nominee Director’s Service $ 725

Local Company registered office address for One year(Maintaining a mail box, receiving all mails)

$ 500

Secretarial Charges(preparation of first minutes, bank accounts opening resolution and ACRA annual return filing resolution)

$ 645

Filing the return with ACRA $ 500

Preparation of annual accounts with FRS(if audit is not required)

$ 1,200 *

Where audit is required, audit fee would depend on the volume of work, amount of time to be spent and the degree of risk, skill set and responsibility required to be exercised in the assignment

* Budgeted Fee

Thank you

Please feel free to Contact Mr. Sathya Hegde BBM,FCA,CPA

PartnerB C Shetty & Co,Chartered AccountantsMobile :+91 9945179868Mail Id: sathyahegde@bcshettyco.com