Guide to Singapore Company Annual Audit Process Easily Meet Compliance Requirements

A Comprehensive Guide to Successfully Completing Singapore Company Annual Filing

Singapore, as a global business hub, continues to attract more and more companies-both local and multinational-to register and operate. A crucial legal obligation for every registered company is the completion of its annual filing Annual Return. This process not only ensures compliance with local laws but also maintains corporate credibility and supports long-term business operations.

This article provides a detailed guide to the full process of Singapore company annual filing, incorporating recent policy updates and practical procedures.

1. What Is Singapore Company Annual Filing?

The annual filing refers to the submission of financial statements, director’s report, and shareholder resolutions to the Accounting and Corporate Regulatory Authority ACRA each year. According to Section 509 of the Companies Act, all private limited companies Private Limited Companies are required to fulfill this obligation on time. Failure to do so may result in penalties or even the revocation of the business license.

In June 2025, ACRA updated its official website to clarify the new timeline starting from 2025, all companies must complete their annual filings within seven months after the end of their financial year. For example, if a company’s financial year ends on March 31, 2025, the deadline for completing the annual filing is October 31, 2025.

2. Overview of the Annual Filing Process

The Singapore company annual filing involves the following key steps

1. Determine the Financial Year End FYE

The first step is to establish the company's financial year-end. This is typically decided by the board of directors and can be set at the time of incorporation or changed later. Once determined, it should remain consistent to avoid confusion.

2. Audit the Financial Statements If Applicable

Not all companies are required to have audited financial statements. Under ACRA regulations, small companies that meet all three of the following criteria may be exempt from an audit

Annual revenue does not exceed SGD 10 million

Total assets do not exceed SGD 10 million

Number of employees does not exceed 50

Companies that do not qualify must engage an ACRA-registered auditor. In early 2025, ACRA issued a reminder emphasizing the importance of audit quality and recommending that businesses carefully select professional and independent audit firms.

3. Hold the Annual General Meeting AGM and Approve Financial Statements

The company must hold an Annual General Meeting AGM to present its financial status to shareholders. During the meeting, the financial statements and related resolutions-such as profit distribution plans-must be approved. As of the latest update, virtual meetings are now officially accepted as a valid format for AGMs, offering greater flexibility for international companies.

4. Submit the Annual Return to ACRA via BizFile+

After completing the above steps, the company must submit its Annual Return Form AR1 or AR2 through the BizFile+ online system. Required documents include

Audited or unaudited financial statements

Director’s report

Resolutions passed at the AGM

Current director and secretary information

Share capital details

The filing fee is SGD 30 for electronic submission, with processing usually completed within one business day. Upon successful submission, ACRA will issue a confirmation notice.

3. Common Issues and Key Considerations

1. Confusion About the Filing Deadline

Many business owners mistakenly believe that the annual filing must be completed before the anniversary of the company’s incorporation date. However, the actual deadline is based on the financial year-end. For example, a company incorporated on August 15, 2025, with a financial year ending March 31, must file its annual return within seven months after March 31 each year.

2. Delay in Updating Director Changes

Any changes in the company’s management team must be reported to ACRA within 14 days of the change. Failure to do so may cause delays or incomplete submissions during the annual filing process.

3. Confusing Annual Filing with Tax Filing

Although both are annual requirements, they are managed by different authorities. Annual filing is handled by ACRA, while tax filing falls under the responsibility of the Inland Revenue Authority of Singapore IRAS. These processes occur at different times and cannot substitute for each other.

4. Practical Tips and Best Practices

1. Plan Ahead and Allow Sufficient Time

Given the multiple steps involved, it is advisable to start preparing two to three months in advance. Companies requiring audits should contact accounting firms early to schedule services.

2. Use Professional Services for Efficiency

For those unfamiliar with the process, engaging a professional company secretary or accounting firm can ensure compliance and save valuable time and effort.

3. Utilize Official Resources from ACRA

ACRA’s official website offers comprehensive guides and templates, including financial statement formats and instructions for completing the annual return. Additionally, ACRA has introduced a Compliance Dashboard feature, enabling companies to monitor their filing status in real time.

4. Stay Updated on Policy Changes

In recent years, ACRA has been streamlining business compliance processes-for example, simplifying forms and promoting paperless submissions. Businesses should stay informed about these changes to adapt accordingly.

5. Conclusion

While the Singapore company annual filing process may seem complex, it can be efficiently managed with proper planning and understanding. As digital tools continue to improve accessibility and efficiency, companies should treat annual filing not just as a legal requirement, but as a fundamental part of good corporate governance. Doing so will help build a strong foundation for long-term success in Singapore’s dynamic business environment.