What Do You Know About the Annual Review Fees for Companies in Singapore?

Understanding the Costs of Annual Filing for Singapore Companies What You Need to Know

Setting up a company in Singapore is a popular choice among entrepreneurs and investors. With its stable economic environment, efficient services, and business-friendly policies, Singapore has become one of the most favored global business hubs. However, for business owners who have already registered their companies, there is an important annual compliance task the Annual Return Submission. One of the most frequently asked questions about this process is how much does it cost?

1. What is Company Annual Filing?

In Singapore, all registered private limited companies Private Limited Company are required by the Companies Act to submit an Annual Return to the Accounting and Corporate Regulatory Authority ACRA and file a tax return with the Inland Revenue Authority of Singapore IRAS after each financial year ends.

The annual filing process typically includes

1. Preparation of Financial Statements Including balance sheets, income statements, and cash flow statements.

2. Audit Report if applicable Companies that meet the small company exemption criteria may be exempt from audit requirements.

3. Submission of Annual Return AR1 Form to ACRA.

4. Submission of Tax Return Form C-S or C to IRAS.

These procedures are not only essential for maintaining legal compliance but also crucial for upholding the company’s credibility.

2. Components of Annual Filing Costs

The cost of annual filing is not fixed-it depends on several factors. Typically, it includes the following components

1. Accounting Fees

Most small and medium-sized enterprises SMEs outsource the preparation of financial statements to professional accounting firms or agents. The fees vary depending on the complexity of the business, the number of transactions, and whether historical records need to be organized.

For companies with clear records and minimal transactions SGD 500-1,500

For businesses requiring tax planning, cross-border transactions, or historical adjustments costs may be significantly higher.

2. Audit Fees

If your company does not qualify for audit exemption, you must engage a registered auditor to prepare an audit report. Audit fees depend on

Company size

Industry type

Complexity of audit work

Typically, audit fees start from SGD 1,500, and for mid-sized or larger companies, they can reach several thousand or even tens of thousands of dollars.

3. ACRA Annual Filing Fee

When submitting the Annual Return to ACRA, a filing fee is required. According to ACRA’s official website

AR1 Form for private limited companies SGD 55

Other company types e.g., public companies SGD 115

Late submissions may result in penalties, adverse records, or even compulsory removal from the register.

4. Tax Filing Fees

Although tax filing is not strictly part of the annual return, it is often handled concurrently. If a company engages an accountant to prepare Form C-S or Form C, the cost will usually be included in the overall annual filing service.

3. Key Factors Affecting Annual Filing Costs

1. Eligibility for Audit Exemption

Since 2018, companies that meet at least two of the following three criteria may be exempt from audit

Annual revenue ≤ SGD 10 million

Total assets ≤ SGD 10 million

Number of employees ≤ 50

This means more SMEs can save significantly on audit costs.

2. Use of Professional Services

While some startups try to handle annual filing themselves to cut costs, frequent regulatory changes and complex procedures make it advisable to hire professionals to avoid risks of errors or late submissions.

3. Clarity of Historical Records

If past financial records are disorganized or incomplete, additional time and effort will be required, increasing the overall cost.

4. International Operations or Special Industries

Companies involved in import/export, e-commerce, or financial services often face more complex financial structures, which increases the time and cost of annual filing.

4. Recent Developments Streamlining Compliance in Singapore

According to a 2025 announcement, ACRA is further simplifying compliance procedures and promoting automation tools to help businesses complete annual filings more efficiently. With the advancement of AI and cloud technologies, some accounting platforms now offer automated financial reporting services-good news for SMEs. Although full automation is not yet possible, these tools can significantly reduce time and costs.

5. How to Manage Annual Filing Costs Effectively

1. Plan Ahead

Don’t leave everything to the last minute. Early preparation avoids rush fees and ensures higher-quality submissions.

2. Choose the Right Service Provider

Compare prices and read reviews to find cost-effective accounting and audit services.

3. Maintain Good Bookkeeping Habits

Keeping accurate and complete financial records throughout the year reduces the time needed for annual filing and lowers costs.

4. Leverage Digital Tools

Use accounting software like Xero or QuickBooks to improve efficiency and reduce manual errors.

Conclusion

Annual filing is a mandatory compliance requirement for Singapore companies. While costs can vary, having a basic understanding of the process and aligning it with your company’s specific needs can help you manage expenses effectively. By staying informed, planning ahead, and using the right tools and professionals, you can ensure your company remains compliant and continues to operate smoothly in Singapore’s competitive business environment.