As per the recent legislation guidelines by ACRA, all incorporated companies in Singapore along with Limited Liability Partnerships and Variable Capital Companies need to file annual lodgement within the given time duration. It also includes annual declarations and annual returns filings with ACRA. If companies fail to do so, a legal lodgement penalty may be posed. Therefore, it is better to avail company secretary consultancy services to stay away from such troubles.
Note that ACRA has already revised the penalty framework for delayed annual lodgements, and it includes a simple 2-tier penalty. The new rules are effective from 30th April 2021, and they may make the entire compliance much simpler while encouraging companies to handle their statutory obligations with more priority. However, there is no specific change to the ad-hoc filing process under the current penalty framework.
As per the revised penalty framework, all eligible companies in Singapore need to pay an annual lodgement penalty of $300 if they file annual declarations or returns within three months after passage of the due date. However, if it takes more than three months after mentioned due date, the penalty may rise to $600.
What is an annual return?
Annual return can be defined as an electronic submission that Singapore business entities need to make to ACRA. This organization works like a statutory board and oversees the company regulations in Singapore with the power to issue court summons and impose fines when companies do not follow compliance. The Singapore company secretary service provider can guide you better on how to adhere to the guidelines.
The submission of annual returns in a company is dependent and contingent on its annual general meeting date. The statutory requirements mentioned in Section 197 of the Singapore company act state that one need to file annual returns essential within one month of the annual general meeting. As the annual returns are required to be submitted once a year, the companies are supposed to meet the requirement at all levels.
How to submit annual returns?
A Singapore company can file its annual returns via the electronic portal of ACRA, which is widely named Bizfile. In order to access this platform, you should have a valid SingPass or be one of the officers or directors of the company. Note that SingPass is basically an electronic entity that is provided to permanent residents and citizens in Singapore. Foreigner business owners that have personalized employment passes, S-Pass, EntrePass, Employment Passes, dependant pass, Long-Term Visit Pass-Plus, or have to work permits can apply for SingPass in Singapore.
Get the expert advice from a Singapore company secretary service provider
The payments on the Bizfile platform can be made using a credit card, deposit service account, and eNETS debit. However, if you are not familiar with the process or are confused with legal terms, it is better to hire experts from Singapore company secretary service providers. These professionals at company secretary consultancy services are well-aware of the entire procedure, and they can guide you better on how to file annual lodgements from time to time.