Key Analysis of Annual Review and Accounting for Singapore Companies

The Essentials of Annual Filing and Accounting for Singapore Companies - Do You Know Enough?

Registering a company in Singapore is a crucial step for many entrepreneurs and investors looking to expand their international business. As one of the world’s most competitive business hubs, Singapore attracts a large number of foreign investors with its transparent legal system, low tax regime, and efficient services.

However, while enjoying these advantages, businesses must also fulfill corresponding compliance obligations. Among them, annual filing and accounting are two essential and often underestimated tasks.

Understanding the Basics Annual Filing and Accounting

Annual filing refers to the mandatory requirement for every Singapore-registered company to submit an Annual Return to the Accounting and Corporate Regulatory Authority ACRA each year. This ensures that the company’s information is up to date and compliant with regulations.

Accounting, on the other hand, involves the preparation, review and auditing, if applicable of the company’s financial statements by either the internal finance team or an external accounting firm, followed by submission to the Inland Revenue Authority of Singapore IRAS.

Though these tasks may seem straightforward, they are crucial for maintaining corporate compliance. Failure to complete them on time can lead not only to fines but also to the forced deregistration of the company.

Annual Filing More Than Just Submitting Forms

According to ACRA regulations, every registered company must hold its Annual General Meeting AGM within 18 months of incorporation and submit audited or unaudited financial statements along with the Annual Return to ACRA within 60 days after the AGM.

Small companies that meet certain exemption criteria may be exempt from audits but still need to submit financial statements. Starting in 2025, ACRA has tightened its enforcement on companies that fail to submit their Annual Returns on time.

According to reports from Lianhe Zaobao, over 2,000 companies were fined in 2025 for late filings, with some even having their business licenses revoked. This shows that compliance with annual filing has become a key regulatory focus in Singapore.

Accounting Professionalism and Compliance Are Key

Although Singapore’s tax system is known for being simple and transparent, it imposes strict requirements on financial reporting. Under the Companies Act, all companies must prepare financial statements in accordance with the Singapore Financial Reporting Standards SFRS.

For companies required to undergo an audit, a licensed auditor must be engaged, and the audit report must be attached when filing the Annual Return. In recent years, IRAS has also increased its cross-checking of corporate financial data.

For example, in early 2025, IRAS announced an expansion of random audits targeting small and medium-sized enterprises SMEs, aiming to prevent false declarations and tax fraud. These measures have significantly raised the bar for financial compliance.

With the advancement of digital technology, more companies are turning to cloud-based accounting software. According to The Straits Times, the number of SMEs using cloud accounting systems in Singapore increased by 27% year-on-year in the first quarter of 2025. This not only improves efficiency but also enhances data transparency and traceability.

Key Deadlines for Annual Filing and Accounting

Singapore companies can set their own financial year-end, but once chosen, it should remain consistent. Most companies align it with the calendar year January 1 to December 31, though some may choose a different period based on their business cycle.

Key deadlines include

Holding the Annual General Meeting AGM Must be held within 18 months of incorporation.

Filing the Annual Return Must be submitted to ACRA within 60 days after the AGM.

Submitting the Corporate Income Tax Return Form C-S/Form C Typically due by November 30 each year.

Audit Report Submission if applicable Must be completed before the AGM.

Missing these deadlines can result in penalties or even legal consequences. It is therefore advisable for companies to plan ahead and allow sufficient time for preparation.

The Importance of Choosing a Professional Service

For many SME owners operating in Singapore-especially foreign investors setting up a company for the first time-annual filing and accounting can be complex and time-consuming. Choosing a professional accounting and compliance service provider is therefore essential.

Today, numerous accounting firms in Singapore offer end-to-end services, including bookkeeping, auditing, and annual filing. According to a local business services survey in 2025, over 70% of the most popular accounting firms offer Chinese-language services, which is a major convenience for Chinese entrepreneurs.

Some firms also provide value-added services such as automated report generation, tax planning, and compliance reminders, helping business owners manage their finances more efficiently.

Conclusion

Although annual filing and accounting are routine tasks, they reflect a company’s commitment to compliance and corporate responsibility. With increasing regulatory scrutiny and rapid digital transformation, businesses must continuously enhance their financial professionalism and foresight.

Whether local or foreign-owned, companies that prioritize annual filing and proper accounting will be better positioned to grow steadily in Singapore’s vibrant business environment.