File Early, Avoid Penalty…
This article summarizes the fines and penalties for late payment and filing with the Accounting and Corporate Regulatory Authority of Singapore (“ACRA”) and/or Inland Revenue Authority of Singapore (“IRAS”) for both companies as well as individuals.
GST Registered Companies that paid late or failed to pay their GST
1 month after the end of the accounting period, GST-registered businesses are required to pay the GST to IRAS.
When payment is not received by the due date, fines and penalties will be imposed for overdue tax. That is, a 5% penalty and going forward, a 2% additional penalty is to be imposed on this overdue taxable amount.
Therefore, getting your GST filed and submitted promptly to IRAS is crucial.
Get Professional Help for GST matters!
Company that filed late or failed to file their Company’s Tax to IRAS
Most of the companies file their taxes on time. However, there will be a minority who does not file their audited/unaudited accounts, tax computation and Form C/ Form C-S by 30 November or 15 December of the year, Hence, IRAS may take the following actions:
- Issue an estimated Notice of Assessment. In this case, companies will have to pay the estimated taxable amount within one month
- Impose fines and penalty for not filing
- Issue notice and summons to the director
- Summon to Court the officer or person in charge that is responsible for running the company. In this situation, the penalty would likely be twice the tax amount assessed
If you are in this position, it is a very dangerous state for you to be in. You need to act immediately and take immediate action. Call upon and engage professional firm to help rescue you in this matter would be the best solution.
Penalties for late submissions of company’s annual return with ACRA
The table below summaries the penalty for late lodgement fee:
| Length of Default (Days) | Late Lodgement Fee |
| Not more than 30 days | $60 |
| Between 31 days to 60 days (Both days inclusive) | $120 |
| Between 61 days to 90 days (Both days inclusive) | $170 |
| Between 91 days to 180 days (Both days inclusive) | $220 |
| Between 181 days to 365 days (Both days inclusive) | $250 |
| Between 366 days to 730 days (Both days inclusive) | $350 |
| Between 731 days to 1095 days (Both days inclusive) | $350 |
| More than 1096 days | $350 |
Have you filed your annual returns with ACRA? Check for the deadlines of your company annual return filing. If you are lost at this stage, you should engage professional firms to help you on these corporate secretarial matters. Missing these dates could land you into trouble!
Engage a Professional firm Now!
Individuals failing to file or submit late tax returns
The majority of taxpayers do file their taxes and meet the necessary personal tax fling deadlines each year. Havng said that, a small minority still fail to submit their tax obligation on time. Any failure to comply with the filing and payment with IRAS, these individuals will be penalised.
These are some actions taken by IRAS for those who failed to meet the obligations of filing their personal tax return (Form B1) by 15 Apr (for paper returns) or 18 Apr (for e-Filing):
- Issue an estimated Notice of Assessment. Same as for companies, within 1 month, you as an individual need to pay the tax amount based on IRAS’ estimated Notice of Assessment
- Impose fines and penalty for not filing
- Summon you to Court
- Issue a Warrant of Arrest
- Take legal actions. In this instance, the penalty amount imposed by IRAS may be twice the taxation amount assessed.
Filing and submitting your tax obligations with IRAS on time is important. If you had missed the deadline, then you are in serious trouble. However, if you feel that you need assistance, then you should hire an outsourced professional firm to assist you on this.
Reminder from J Accounting Services in Singapore
Whether you own a company or you are an individual person, never file or pay late. Or even worst case scenario, not fling or paying to ACRA and/or IRAS. The consequences would be dire. When that happens and you realised it, it’s too late!
Hence, you will be glad to know that J Accounting Services do offer a wide range of services and even offer packages that help you meet these obligations with the authorities of Singapore such as ACRA and IRAS.
Business owners, whether you are a sole proprietorship or partnership, or even Pte Ltd Company, there are packages that is specifically designed to suit your yearly compliance needs. Check out our company packages here.
