Accounting & Bookkeeping Services Singapore for Small Businesses

Under the Singapore Companies Act and IRAS regulations, every company must keep proper accounting records that accurately reflect its financial position and allow directors to prepare financial statements. These records - including bank statements, invoices, receipts, and payment vouchers - must be retained for at least 5 years from the end of the financial year to which they relate. ACRA can audit your books at any time, and penalties apply for inadequate record-keeping. Karman maintains your records throughout the year so they are always audit-ready.

Singapore companies have two key tax filing obligations. First, the Estimated Chargeable Income (ECI) must be filed with IRAS within 3 months after your financial year end - for example, if your FYE is 31 December, your ECI is due by 31 March. Second, your actual corporate income tax return (Form C-S or Form C) is due by 30 November of the following calendar year. Karman tracks both deadlines and prepares your filings well in advance so you are never at risk of late submission penalties.

Most small Singapore companies are exempt from statutory audit. A company qualifies for the audit exemption if it is a private company that satisfies at least 2 of 3 criteria: annual revenue not exceeding S$10 million, total assets not exceeding S$10 million, and no more than 50 employees. If your company qualifies, Karman prepares unaudited (compiled) financial statements that meet ACRA and IRAS requirements. If your company grows beyond the threshold or has investors requiring audited accounts, we can coordinate with an external auditor.

ECI - Estimated Chargeable Income - is a preliminary estimate of your company's taxable income for the financial year, filed with IRAS within 3 months of your financial year end. Most Singapore companies are required to file ECI unless they qualify for the ECI filing exemption (companies with annual revenue of S$5 million or below and an ECI of zero). Filing ECI accurately and on time prevents IRAS from raising an estimated assessment, which is always higher than actual income and requires an appeal to correct.

Form C-S is a simplified corporate income tax return designed for smaller Singapore companies. Your company can file Form C-S if it has annual revenue of S$5 million or below, derives income only from Singapore sources, and is not claiming specific reliefs such as carry-back of losses, group relief, or investment allowances. Companies that do not meet these criteria must file the full Form C instead. Both forms are due by 30 November each year. Karman determines which form applies to your company and prepares the submission on your behalf.

Singapore's headline corporate income tax rate is 17%, but the effective rate is much lower for most companies. New start-ups qualify for the Start-Up Tax Exemption (75% off the first S$100,000 of chargeable income, plus 50% off the next S$100,000) for the first three years. Established companies receive a Partial Tax Exemption - 75% off the first S$10,000 and 50% off the next S$190,000. Combined with these exemptions, the effective tax rate for most SMEs is closer to 5–10% on the first S$200,000.

GST registration is compulsory once your taxable revenue exceeds S$1 million in any 12-month rolling period (the "retrospective" basis), or you reasonably expect it to exceed S$1 million in the next 12 months (the "prospective" basis). Once registered, you charge 9% GST on standard-rated supplies, file F5 returns quarterly, and can claim back input GST on business expenses. Voluntary registration is also possible below the threshold, often beneficial for B2B businesses with mostly GST-registered customers.

We work with all major cloud accounting platforms - Xero, QuickBooks Online, and MYOB. For most clients we recommend Xero, which integrates seamlessly with Singapore banks (DBS, OCBC, UOB), payroll providers, and IRAS for GST submission. The software cost is bundled into our service. If you already use a different platform, we can migrate or continue with your existing tool.

Yes. A dormant company (no transactions during the year) must still file an Annual Return with ACRA, file a tax return (or claim the dormant company filing exemption from IRAS), and maintain its statutory registers. The ACRA filing fee is the same as an active company. Dormant companies often qualify for ECI filing waiver and Form C-S relief, but ACRA filings remain mandatory. Karman offers a low-fee dormant package.

SUTE applies to qualifying new start-ups for their first three Years of Assessment. It exempts 75% of the first S$100,000 of normal chargeable income (a S$75,000 deduction) plus 50% of the next S$100,000 (a S$50,000 deduction). To qualify, the company must be incorporated in Singapore, tax-resident in Singapore, and have no more than 20 shareholders (with at least one individual shareholder holding 10%+). Investment-holding companies and property-development companies don't qualify. We claim the exemption automatically in your first three Form C / C-S filings.

Yes. Switching mid-year is straightforward - we onboard you, request your trial balance and supporting records from the previous accountant, reconcile the opening balances, and pick up where they left off. Most transitions complete within 2–3 weeks with no disruption to your monthly close cadence. If your previous accountant is uncooperative, we can rebuild the books from your bank statements and source documents.