All companies big and small need to prepare their financial statements yearly. As an established provider of accounting services in Singapore, we serve all our clients with the same level of care and professionalism.
All Singapore incorporated companies are required to file financial statements with ACRA, except for those which are exempted. As an established provider of accounting services in Singapore, we serve all our clients with the same level of care and professionalism.
According to the Singapore Financial Reporting Standards, a complete compilation of financial statements should comprise the following documents. Note that the information required is of the financial year that is ending or has just passed:
To ensure that the company complies with all rules and regulations, our professional accountants can help your company compile the financial statements in line with these standards. We can help adapt from appropriate accounting standards for the relevant financial period and also advise on areas with critical judgements and significant estimates.
Some companies may be exempted from filing audited financial statements if they fall within the definition of a “small company” during the financial year, if it meets any 2 of the 3 criteria below:
For a company which is a part of a group:
(a) the company must qualify as a small company; and
(b) entire group must be a “small group” to qualify to the audit exemption.
For a group to be a small group, it must meet at least 2 of the 3 quantitative criteria for the group’s consolidated financial statements for the immediate past two consecutive financial years.
We understand that the information may be confusing for the untrained person. Contact us today to find out how we can help you. Rest assured that you will be engaging one of the most established locally grown companies for accounting services in Singapore.
Most private limited companies in Singapore are no longer required to have their accounts audited if they satisfy the criteria for a small company or belongs to a group which qualifies as a small group.
Exempt private companies — which have no corporate shareholders and no more than 20 individual shareholders — with turnover of less than S$5 million for the accounting year can file unaudited reports. Dormant exempt companies are also exempt from submitting audited reports.
All Singapore (SG) incorporated companies are required to file financial statements (FS) with ACRA, except for dormant unlisted companies. A dormant company is exempted from the statutory audit requirements but is still required to prepare financial statements. Sole proprietorships, partnerships, limited liability partnerships, or limited partnerships are not required to file FS with ACRA.
Yes, if the dormant company is unlisted, is not a subsidiary or a listed company, and the company’s total assets is not more than S$500,000, the company is exempted even if insolvent.
The exemption would be available for financial years ending on or after 3 Jan 2016.
The company must still hold an AGM. However, if the company is a private company, the company can dispense with the holding of its AGM if there are no other resolutions which need to be tabled.
The test for dormancy is provided for in the Companies Act, i.e. that there is no accounting transaction during that financial year. The Companies Act also states the transactions which will are to be disregarded when determining dormancy: