In.Telligent Corporate Solutions
IN.CORP GROUP OF COMPANIES
One Raffles Place #41-01 Singapore 048616
www.indotcorp.com , www.rafflescorporate.com
[email protected] , [email protected]
IN.CORP Communiqué
Vol. 4 I April 2016 I Highlights
Regulatory updates
Key filing reminders
Solution Areas in focus
- Budget 2016 - An Overview
- IRAS - Upcoming Due Dates
- XBRL filing
- Personal Tax filing
Singapore headquartered corporate solutions provider specializing in corporate compliance, accounting, taxation, incorporation and expansion advisory services.
We are a Pan Asian, full-service professional services firm working with our corporate clients in connecting the Dots for their International expansion journey
OUR IDENTITY
WHAT WE DO
Why Choose Us
Whether it is an organic expansion or an M&A driven growth, we assist our clients in providing customized solutions as they start their International expansion journey including due diligence, search packages, valuation and market advisory.
We assist our clients in incorporating their businesses entities, setting up registered o�ces, providing quali�ed directors and establishing every aspect of local administration around payroll, tax registration, banking set up etc.
Our clients also rely on us for all their Compliance needs ranging from Accounting & Reporting, Company secretarial requirements, Taxation, Legal administration etc.
We have a team of industry experts that can work with the clients connecting them with the opportunity: whether this opportunity is in the form of expansion capital or potential merger.
• Business and Company formation services
• Advisory – comprehensive market entry analysis
• Advisory – comprehensive market entry analysis• Nominee services
• Accounting and Finance oustsourcing• Special projects • Payroll
• Tax planning and structuring• Tax �ling
• Immigration advisory
• Banking liaison• Treasury advisory• M&A & corporate consultancy
• Tax advisory• IP/Trademark �ling• Compliance advisory
• Connect clients with legal and �duciary service providers
• Internationalexpansionadvisory
• Human capital expansion• EP Filings/renewals/cancellations
Solutions acrossthe organizational lifecycle
Services Portfolio
Why Choose Us?
Knowledge centric, One stop solution providerFrom incorporation to consulting
Professionally diverse management team.Deep knowledge of industry and compliance
Value added services portfolio
Regional service offering
Excellent client relationships and successful track record
Responsive, diligent and collaborative
Before the Setup During the Setup Phase During the Steady State And Beyond
INCORPORATION
COMPLIANCE
ACCOUNTING
TAXATION
IMMIGRATION
SOLUTIONS & ADVISORY
LEGAL & FIDUCIARY
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Write to us:
COMMUNIQUÉ – VOLUME 4 – APRIL 2016
1 IMPORTANT UPDATES Budget 2016 has focused on addressing economic challenges amidst uncertainty in the global market and heightened market volatility; Recognizing the impact of these external developments on Singapore’s open economy, Budget contains measures that address both the strong headwinds that are expected from the weakness in the global economy as well as the need for fundamental changes to transform the local economy in a step towards boosting economic expansion and innovation:
• Enhancing the Corporate Income Tax Rebate to help companies, especially the Small and Medium
Enterprises (“SMEs”), the Corporate Income Tax rebate will be raised to 50% for YA 2016 and YA 2017, subject to a cap of $20,000 rebate per YA.
• Introducing a cap of $80,000 on personal income tax reliefs - the total amount of personal income tax reliefs that an individual can claim will be capped at $80,000 per Year of Assessment (YA), to be effective from YA 2018.
• SME Working Capital Loan Scheme for daily operations / automation and upgrading of factory and equipment up to $ 300,000 for local SMEs.
• Double Tax Deduction for Internationalisation (DTDi)
o The DTDi scheme introduced to encourage Singapore businesses to venture abroad while claiming 200% tax deduction on qualifying expenditure incurred has been extended for 4 years from 1st April, 2016 to 31st March, 2020.
o The existing automatic double tax deduction on expenses up to $ 100,000 will also be extended to qualifying expenditure during the same period.
• Removing the tax concession of taxing only 20% of the value on home leave passages for expatriate
employees with effect from YA 2018.
• Anti-avoidance rule for Intellectual Property Rights (IPR) transfers to clearly allow the IRAS to pursue pricing adjustments for IPR transactions. The rule is meant to apply to acquisitions, sales, transfers or assignments of IPRs made from 25th March, 2016 and is applicable for both related party transactions as well as dealings between unrelated parties.
• Introducing mandatory electronic-filing (“e-Filing”) for CIT returns (including Estimated Chargeable
Income, Form C and Form C-S) in stages as follows:
YA 2018 Companies with turnover of more than $10mil in YA 2017 YA 2019 Companies with turnover of more than $1mil in YA 2018 YA 2020 All Companies
• Enhancing the Mergers & Acquisitions (M&A) scheme - To support more M&As, the existing cap for
qualifying M&A deals will be doubled from $20m to $40m, such that: o Tax allowance of 25% will be granted for up to $40m of consideration paid for qualifying M&A
deals per YA; and o Stamp duty relief will be granted for up to $40m of consideration paid for qualifying M&A
deals per financial year.
These changes will apply to qualifying M&A deals made from 1 April 2016 to 31 March 2020.
• Withdrawing the tax exemption on income derived by non-residents trading in Singapore in specified commodities via consignment from YA 2018.
• Introducing Business and Institution of a Public Character (IPC) Partnership Scheme (BIPS) to further incentivize businesses that take an interest in nurturing societies and communities.
BUDGET 2016 - OVERVIEW
COMMUNIQUÉ – VOLUME 4 – APRIL 2016
S. No. Particulars Form No. Due Date 1. Filing of Individual Income Tax (Paper Form) B/B1 15th April, 2016 2. e-Filing of Individual Income Tax (on My Tax
Portal) B/B1 18th April, 2016
3. e-Filing of GST Return (1st Jan – 31st March) GST F5 30th April, 2016
IRAS – UPCOMING DUE DATES
COMMUNIQUÉ – VOLUME 4 – APRIL 2016
2 KEY FILING REMINDERS
FOR PRIVATE LIMITED COMPANIES WITH FYE 31ST JANUARY 2016 The Singapore Companies Act requires all companies to record and maintain proper accounts to be laid at the company’s AGM. Each company has to file:
• Their Annual Returns • XBRL (wherever applicable) • Corporate Income Tax (Form C or Form C-S) • Tax computations where required with or without the required compilation or audited accounts
These filings are done with the respective authorities, such as ACRA (Accounting and Corporate Regulatory Authority) and IRAS (Inland Revenue Authority of Singapore).
The graphics below capture the compliance requirements and timelines associated:
A. If your Financial Year End (“FYE”) is 31st January 2016 and this is your first year end.
B. If your Financial Year End (“FYE”) is 31st January 2016 and this is NOT your first year end.
Submission of ECI
30th Apr 2016
First AGM
Filing of Annual Returns
WITHIN 3 MONTHS AFTER FYE
18 MONTHS AFTER INCORPORATION
WITHIN 1 MONTH OF AGM
30TH NOVEMBER
FYE 31st Jan 2016 Tax Return Filing
FYE 31st Jan 2016
WITHIN 3 MONTHS AFTER FYE
15 MONTHS AFTER PREVIOUS AGM
WITHIN 1 MONTH OF AGM
30TH NOVEMBER
First AGM
Tax Return Filing
Submission of ECI
30th Apr 2016
Filing of Annual Returns
COMMUNIQUÉ – VOLUME 4 – APRIL 2016
3 NEW SOLUTION AREAS IN FOCUS
XBRL FILING SERVICES
What is XBRL?
XBRL stands for eXtensible Business Reporting Language, a language used in computers to present financial statements such that they can be retrieved from online records and transferred directly to users such as auditors, regulators, financial analysts for various purposes.
ACRA believes that the use of XBRL will achieve the objectives of facilitating the conduct of business in Singapore, providing more value-added financial information and enhancing the regulatory environment with improved transparency and timely dissemination of relevant financial information.
Who needs to file?
a) Insolvent Exempt Private Companies
b) Private companies with corporation(s) as theirshareholder(s)
Why outsource to In.Corp / Raffles?
To prepare the XBRL financial statements, it requires a deep understanding of accounting concepts and knowledge of Singapore Financial Reporting Standards (SFRS) and SFRS for Small Entities.
Since directors of the company are made responsible for the accuracy of any company information that are filed with ACRA, asking someone in the company who is not sufficiently competent with the XBRL filing requirements as specified by ACRA is risky.
Outsourcing the XBRL filing to In.Corp will remove a huge load off
your shoulders when it comes to meeting your company’s
statutory compliance.
COMMUNIQUÉ – VOLUME 4 – APRIL 2016
Personal Tax in Singapore
The amount of tax you have to pay depends on whether you are:
Resident Individual:
• This individual will enjoy personal reliefs.
• Income of resident individual will be taxed at an increasing (graduated) rate.
Non-Resident Individual:
• There are no personal reliefs.
• Employment income will be taxed at 15% or the resident individual rate, whichever gives rise to a higher tax amount.
• Director’s fees, consultation fees & all other income that you had received will be taxed at 20%.
When is the Filing Dateline?
In Singapore, the personal income tax is based on calendar year. That means from 1 January to 31 December. Income is assessed on a preceding year basis. The yearly individual personal tax returns must be lodged with the Inland Revenue Authority of Singapore (“IRAS”) by 15 April in the consecutive year.
Other services under our broad spectrum of assistance on personal tax matter:
• Application for tax schemes like the Not Ordinarily Resident scheme
• Assistance to attending to queries from IRAS
• Application to IRAS for voluntary disclosures of past tax errors / negligence
• Local personal tax advisory
Do you need any assistance in the preparation of tax returns and tax
computations?
PERSONAL TAX FILING SERVICES
