Key Regulations and Considerations for Submitting Audit Reports in Singapore

What Are the Key Deadlines and Considerations for Submitting Audit Reports in Singapore?

Businesses operating in Singapore, regardless of size, are required to comply with local financial and tax regulations. One crucial component of corporate compliance is the submission of audited financial statements. According to the Accounting and Corporate Regulatory Authority ACRA, eligible companies must complete their annual audit and submit the audit report to the relevant authorities on time. This article provides a detailed overview of the deadlines, applicable entities, requirements, and important considerations regarding audit reports in Singapore.

1. Which Companies Are Required to Undergo an Audit?

Not all companies in Singapore are subject to mandatory audits. Under the Companies Act, only companies that meet at least one of the following criteria are required to undergo a statutory audit

1. Listed Companies All companies listed on the Singapore Exchange SGX.

2. Large Private Companies Entities that meet at least two out of the following three conditions over two consecutive financial years

Annual revenue exceeding SGD 10 million;

Total assets exceeding SGD 10 million;

Employee count exceeding 50.

3. Public Companies Includes public companies limited by guarantee and similar entities.

For most small private enterprises, audit requirements may be waived if they qualify under the simplified regulatory framework introduced in 2015. To be exempt, a company must meet the following conditions

Annual revenue not exceeding SGD 5 million;

Owned by no more than 20 individual shareholders.

2. Key Timeframes for Audit Report Submission

There are two main deadlines related to audit submissions the internal completion of the audit and the official filing with ACRA via the BizFile+ system.

1. Deadline for Completing the Audit

While not legally mandatory, it is generally expected that companies complete their audit within three months after the end of each financial year. Doing so ensures timely reporting to shareholders and supports decision-making processes. Early completion is also beneficial for companies planning fundraising activities or considering mergers and acquisitions.

2. Deadline for Filing the Annual Return with ACRA

After holding the Annual General Meeting AGM, companies must file their Annual Return - including audited financial statements where applicable - with ACRA through the BizFile+ platform within one month.

Importantly, the AGM must be held no later than six months after the financial year-end. Therefore, companies typically need to finalize their audit and file the Annual Return within seven months of the fiscal year-end.

Example

For a company with a financial year ending on December 31, 2025

The AGM should be held by June 30, 2026;

The Annual Return must be submitted to ACRA by July 31, 2026;

The audit report should be ready before the AGM for review by the board and shareholders.

3. Audit Report Content and Format Requirements

Audit reports must be issued by a registered accounting firm and follow either the Singapore Standards on Auditing SAS or International Standards on Auditing ISA. A complete audit report typically includes

Statement of management’s responsibility for the financial statements;

Auditor’s opinion unqualified, qualified, adverse, or disclaimer of opinion;

Description of the audit scope;

Audit reference date;

Signature and seal of the auditor;

Report issuance date.

The audit report must be accompanied by audited financial statements, which include

Balance sheet;

Income statement;

Cash flow statement;

Statement of changes in equity.

4. Consequences of Late Submission

Failure to submit audit reports or Annual Returns on time can lead to serious consequences

Fines ACRA may impose a daily penalty of up to SGD 300, capped at SGD 30,000;

Director Liability Directors may face personal liability or legal action;

Reputational Damage Delayed filings can harm a company’s credibility with banks, partners, and regulators;

Blacklisting Both the company and its directors may be placed on a watchlist, restricting future business activities in Singapore.

In recent years, ACRA has stepped up enforcement actions. For example, in early 2025, several companies were publicly named and fined for late submission of Annual Returns, underscoring the importance of compliance.

5. Common Tips and Recommendations

To avoid unnecessary legal risks, companies should keep the following in mind when handling audit matters

1. Plan Ahead Start the audit process early to allow time for unexpected issues;

2. Choose a Qualified Auditor Engage a reputable accounting firm with relevant experience;

3. Verify Accuracy Double-check financial data and audit documents before submission;

4. Stay Updated on Regulations Regularly check ACRA’s official website or consult professionals for updates;

5. Use Digital Tools Implement ERP systems or accounting software to streamline financial reporting and auditing.

Conclusion

Singapore-based businesses should assess whether they are subject to audit requirements based on their size and structure, and strictly adhere to the prescribed deadlines and procedures. Understanding audit obligations, managing timelines effectively, and working with professional service providers not only ensure compliance but also enhance overall financial governance - laying a solid foundation for long-term success.