Singapore Company Annual Review How Much Do You Know?

Annual Filing for Singapore Companies Are You Aware?

In Singapore, annual filing is a mandatory legal requirement for all registered companies. As an essential part of corporate compliance, the Annual Return must be submitted to the Accounting and Corporate Regulatory Authority ACRA, which also uses it as a key tool for business regulation. Despite the long-standing system, many business owners still misunderstand or neglect the process and its importance, leading to poor compliance records or even legal risks.

What is Annual Filing?

Annual filing for Singapore companies consists of two main components submitting the Annual Return to ACRA and holding the Annual General Meeting AGM. According to the Companies Act, every company must hold an AGM within 14 months after the end of its financial year and submit the Annual Return to ACRA within 30 days after the AGM. The information required includes updated details of directors, shareholders, the company secretary, and a summary of the financial statements.

The Importance of Annual Filing

Annual filing is not only a legal obligation but also a crucial way to maintain a company's good business reputation. Timely filing enhances a company's credibility in the eyes of partners, customers, and financial institutions. Companies that fail to file on time may face penalties, be marked as Non-Compliant by ACRA, or even risk compulsory deregistration. Recent media reports indicate that in 2025, ACRA has intensified its enforcement efforts, with multiple companies fined for non-compliance and some permanently struck off the register due to prolonged failure to meet obligations. This trend reflects Singapore’s ongoing commitment to strengthening corporate governance and ensuring a transparent, efficient business environment.

Overview of the Annual Filing Process

The annual filing process generally involves the following steps

1. Prepare Financial Statements The company must prepare financial statements in accordance with Singapore Financial Reporting Standards SFRS and have them signed by the directors.

2. Hold the Annual General Meeting Conduct the AGM within 14 months after the end of the financial year to report the company's performance to shareholders and obtain approval of the financial statements.

3. Submit the Annual Return to ACRA Within 30 days after the AGM, file the Annual Return and related documents via ACRA’s online system.

4. Pay the Filing Fee A filing fee is required, which varies depending on the company type and submission timing.

Common Misconceptions and Key Points to Note

Despite the clarity of the process, many business owners still hold misconceptions

My company isn’t operating, so annual filing isn’t necessary Regardless of whether a company is active, as long as it is not officially deregistered, it must continue to comply with annual filing obligations.

A few days’ delay doesn’t matter Late submissions are recorded by ACRA and may incur late fees. Prolonged non-compliance can result in the company being struck off.

Hiring an agent means I don’t need to worry While many companies outsource annual filing to accounting or secretarial firms, the ultimate responsibility lies with the company directors. Choosing a professional and reliable agent is essential.

How to Avoid Annual Filing Mistakes

To prevent errors during the annual filing process, business owners should consider the following

1. Set Reminders Use digital calendars or specialized software to track key deadlines and ensure timely compliance.

2. Update Company Information Regularly If there are changes to directors, shareholders, or the company secretary, update the details on ACRA promptly to avoid delays.

3. Seek Professional Assistance For those unfamiliar with the process, hiring a qualified accounting or secretarial firm can help ensure accuracy and compliance.

Conclusion

Although annual filing may seem like a routine task, it plays a vital role in maintaining legal compliance and protecting a company’s business reputation. In today’s increasingly regulated environment, the consequences of neglecting annual filing can far outweigh the effort required to complete it properly. Whether you run a startup or an established business, it is crucial to take annual filing seriously and ensure timely and accurate submission every year, laying a solid foundation for your company’s long-term success.