Singapore Company Annual Review Guide Easily Complete the Process and Avoid Fines Hassles

Guide to Singapore Company Annual Filing How to Handle It with Ease and Avoid Fines and Trouble

Operating a business in Singapore-whether local or foreign-requires fulfilling key compliance obligations, one of the most important being the annual filing requirement. Annual filing is not only essential for legal operation but also impacts the company’s credibility and future development. Failing to complete the process on time may result in penalties, legal risks, or even the risk of being struck off by the Accounting and Corporate Regulatory Authority ACRA. Understanding and mastering the basic procedures and key considerations of annual filing is a must for every business owner.

1. What is Annual Filing, and Why is it Important?

Annual filing is a legal requirement under Singapore law, whereby all registered companies-including private limited companies and public companies-must submit their financial statements and annual return to ACRA each year. The core purpose of this process is to ensure transparency and public accountability of corporate financial information for regulatory and public oversight.

The two main documents required are

1. Annual Return AR Must be submitted within 7 months after the company’s financial year-end FYE.

2. Financial Statements Includes the balance sheet, income statement, and cash flow statement. These must be signed by the company directors and submitted.

ACRA sets the financial year-end FYE upon company registration, and companies must plan their annual filing accordingly. Failure to submit on time can result in penalties or even the risk of being struck off the register.

2. Key Changes in Annual Filing for 2025

According to ACRA’s 2025 updates, the annual filing process has become more digitalized. Companies are strongly encouraged to file through the BizFile+ electronic portal to improve efficiency and reduce errors.

Small companies that qualify may be exempt from submitting audited financial statements, but they must still ensure that their financial statements comply with Singapore Financial Reporting Standards SFRS and are signed by the directors.

Starting in 2025, penalties for late submissions have increased. Companies that fail to meet deadlines will face initial fines and may incur daily late fees. Repeat offenders risk legal action, including removal from the business registry.

3. Step-by-Step Annual Filing Process

1. Determine the Financial Year-End FYE

A company’s FYE is fixed, typically set to the last day of the month in which the company was incorporated, one year after incorporation. For example, a company incorporated in May 2025 will have an FYE of April 30. Annual filings must be completed within 7 months of the FYE.

2. Hold an Annual General Meeting AGM

Before filing, companies must hold an AGM to present and obtain shareholder approval of the financial statements. While ACRA no longer mandates AGMs, it is advisable to keep meeting minutes for audit and compliance purposes.

3. Prepare Financial Statements

These must be prepared in accordance with SFRS and signed by the directors. Small qualifying companies may opt out of an audit but must ensure accuracy and completeness.

4. Submit the Annual Return via BizFile+

File the Annual Return electronically through ACRA’s BizFile+ portal and pay the required fee. Upon submission, a confirmation letter will be generated automatically-this should be retained.

5. Keep Records for Future Reference

It is recommended that all annual filing documents be retained for at least 5 years for potential future audits or inspections.

4. Common Questions and Practical Solutions

What if I Miss the Deadline?

If a company fails to file on time, it should submit the documents as soon as possible and pay the applicable late fees. ACRA offers a grace period with reduced penalties, but prolonged delays may result in the company being listed for strike-off.

Can I Request an Extension?

Currently, ACRA does not offer formal extensions. Companies must plan ahead to avoid delays due to internal procedures.

Can Small Companies Simplify the Process?

Yes. Small companies that meet the following criteria are exempt from audits but still need to submit financial statements and the Annual Return

Annual revenue ≤ SGD 10 million

Total assets ≤ SGD 10 million

≤ 50 employees

How Much Does Annual Filing Cost?

Submitting the Annual Return via BizFile+ costs SGD 30. If outsourcing to a professional secretary or accounting firm, additional service fees will apply, depending on the provider.

5. Tips for Efficient Annual Filing

1. Plan Ahead and Set Reminders

Include your company’s annual filing deadline in your calendar and set early reminders. Aim to complete financial statement preparation 2-3 months after FYE.

2. Outsource to Professionals

For busy entrepreneurs, engaging a professional secretary or accounting firm ensures timely and accurate submissions.

3. Maintain Clear Financial Records

Good bookkeeping not only streamlines the annual filing process but also supports tax filings and audits.

4. Utilize ACRA’s Online Resources

ACRA provides detailed guides and FAQs on its website. You can also sign up for electronic reminders to stay updated on filing deadlines.

6. Conclusion

As one of the world’s most competitive business hubs, Singapore maintains a robust compliance framework to ensure transparency and stability in its business environment. While annual filing may seem burdensome, it is a fundamental requirement for continued business operations.

By planning ahead, preparing promptly, and seeking professional support when needed, companies can easily meet their compliance obligations and avoid costly penalties. With compliance handled, businesses can focus on growth and long-term success.