Upon a successful GST registration by businesses in Singapore, the next thing IRAS expects is that such firms file for GST and the corresponding amount at the end of the relevant accounting period. The filing process requires uploading some forms and supplying specific details if you register via the online route. But are there particular businesses that should file for GST, or does everyone have to do so? Here is the answer!
Who Needs To File For GST?
All Singapore businesses duly registered for GST must file for this consumption tax. The filing frequency depends on a company’s accounting period, which for most is one full calendar year. Even when the business has no revenue for the accounting period under review, they are still expected to file a nil return GST. In filing GST, there are statutory forms that companies must fill and return. Let’s check these out in the next section.
GST Filing Forms
There are three critical GST forms every person or business filing for this tax must fill out and return. These are:
GST F5:
This form is where you account for all the transactions your business has carried out within the period you are filing for the GST. Assuming no trade occurred during this time, you are still expected to fill out and return this form but indicate no return.
GST F7:
This form allows you to indicate whether there have been errors in the previous GST your company filed. The time frame for correcting any such error is five years. Once this has passed and you have not updated it, you will no longer need to return this form.
GST F8:
This form is applicable for final GST filing. On it, you are to enter the output tax on all taxable assets in your possession from when your company’s GST registration ended.
GST Filing Process
For first-timers or firms appointing a tax agent for filing GST, the first step in filing for GST is to secure authorisation from the Corppass account of the GST-registered business. Without this authorisation, the appointed person cannot proceed with the filing. However, this step is unnecessary if you have been filing before and have already secured permission.
Step 1
After you have been given access to Corppass, you will be asked to upload supporting documents (910KB). All supporting documents should be ready and in electronic form before the application.
Step 2
Use your CorpPass ID and password to log in to myTax Portal for “Business Tax Matters” and get your company’s GST return. Once you click “Login,” your Corppass account will send an OTP to the phone number linked to your Corppass account.
Step 3
To file a return for the Goods and Services Tax return, you must now click the “GST” tab. From the options in the drop-down menu, choose “File GST Return/Edit Past Return.” After doing these things, you will be taken to the webpage where you can perform the “File GST Return.” Scroll down until you find the GST F5 return, which you will need to file. You must send in the GST F5 return if you are sure all the information you filled in is correct. You can save your ongoing registration as a draft to guide against any possible data loss.
Step 4
After inputs, click “OK.” An acknowledgement screen will tell you your return has been sent to IRAS. This message also has your acknowledgement number. You may wish to keep a copy of this page for reference, but ensure you send your payment to IRAS by the date specified.
Step 5
You must fill out the GST F8 to report output tax on your taxable assets on the GST’s last registration date. The tax is sent in with the previous GST F8 return.
Filing Timelines
Every company registered for GST must send its GST return to the Comptroller of GST within a month after its quarterly or monthly accounting period. A $200 late-submission penalty will be added to any GST return that isn’t sent on time.
Penalties for Non-compliance
If you fail to file the GST as and when due, the appropriate authority may charge you with any of the following:
- IRAS will change the date you registered to when you become legally required to register. If you don’t register on time, you will likely have to pay a considerable amount of backdated taxes. Even if you didn’t charge your customers any GST during the period in question, you would still have to report and pay GST on your past sales.
- A penalty amounting to $10,000 plus 10% of the GST you owe might also be levied against you.
- Your case might be taken to court by the relevant authorities.
On the other hand, IRAS will usually not charge you a fine or additional penalty for being late if you acknowledge that you have been late in sending in your application for GST registration. In addition, if you cannot pay the GST for the backdated period all at once, they may allow you to pay it in instalments instead.
Filing for GST in Singapore is a corporate responsibility for all registered businesses. There are penalties for late or no action from firms, the severity of which depends on the duration of default. If you commit this process to a staff member, you must be sure that they know how to go about it. Otherwise, a licensed tax agent may be the best bet to avoid tax issues with IRAS.