5 ways tax filing is made easier for new companies with the New Company Start-Up Kit
Are you filing your Corporate Income Tax (CIT) Return for your new company for the first time?
The New Company Start-Up Kit (“the Kit”) was created to help new companies better understand their first filing obligations, which includes the CIT Return with IRAS and the Annual Return with the Accounting and Corporate Regulatory Authority (ACRA). More than 16,500 newly incorporated companies have benefitted from the New Company Start-Up Kit.
Here are five ways the Kit makes tax filing for new companies easier:
- Get a customised filing timeline within five minutes
After accessing the Kit and answering a few questions, you will receive a tailored timeline for important filing due dates with IRAS and ACRA, such as when to file the Estimated Chargeable Income (ECI) and the CIT Return with IRAS, and when to hold the Annual General Meeting and file the Annual Return to ACRA.
(Screenshot of the landing page)
(Sample screenshot of a tailored timeline for a company whose Financial Year End is in Dec 2022.)
- Email reminders from IRAS for your first tax filing due dates
To provide a timely reminder, email notifications from [email protected] will be sent one month prior to your company’s first ECI and first CIT Return filing due date. These email notifications ensure that you stay on track with your company’s tax obligations by inviting you to access the Kit for further assistance on the respective tax filings.
If you have accessed the Kit after the due date of your company’s first ECI and/or first CIT Return, or if it is less than one month away from the respective filing due dates, no email reminders will be sent. Instead, you will be given useful tips on the filing of ECI and/or CIT Return when using the Kit.
- Find out whether your company is required to file the ECI or submit the financial statements to ACRA
The ECI is an estimate of your company's taxable profits (after deducting tax-allowable expenses) for a Year of Assessment. If you have signed up for the Kit, you will receive an email notification one month prior to the ECI filing due date inviting you to access the Kit.
By answering a few questions in the Kit, you will be able to find out if your company is required to file the ECI. Additionally, you will also find out whether your company needs to submit the financial statements when filing an Annual Return to ACRA.
(Sample screenshot of answers in the Kit which will vary depending on the responses to questions asked)
- Find out which CIT Return to file
Your company must file the CIT Return i.e. Form C-S/ Form C-S (Lite)/ Form C to IRAS (unless your company has been granted a waiver to file the return). If you have signed up for the Kit, you will receive an email notification one month prior to the CIT Return filing due date inviting you to access the Kit.
By answering a few questions in the Kit, you will be able to find out which CIT Return to file. Form C-S is a simplified CIT Return for qualifying small companies to report their income to IRAS, while Form C-S (Lite) is a simplified version of Form C-S that requires only six essential fields to be completed by companies with straightforward tax matters. Companies that do not qualify to file Form C-S or Form C-S (Lite) are required to file Form C.
- Get useful information for companies looking to purchase their first accounting software
We encourage you to purchase an accounting software that can help you to manage your day-to-day business operations and transactions digitally, as well as fulfil your tax compliance obligations seamlessly. The Kit provides useful information on such software, including information on government support schemes you can tap on to apply for software at subsidised rates.
(Sample screenshot of useful information in the Kit)
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