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CorpPass

CorpPass is a corporate digital identity system for businesses and other entities (such as non-profit organisations and associations) to conduct online transactions with government agencies. Since 1 September 2018, CorpPass has been the single login method for all government-to-business transactions. The system is managed by the Government Technology Agency (GovTech).

Licences and Permits

After successfully registering your business entity with ACRA, you may need to apply for a licence or permit from other government agencies before commencing business. Visit the GoBusiness Licensing website to check if this applies to you.

Taxation

You may be liable for certain taxes, including income tax, corporate tax, and Goods and Services Tax (GST). To determine your specific tax obligations, please visit the Inland Revenue Authority of Singapore (IRAS) website.

Registering for GST is compulsory if:

  • Your taxable turnover at the end of the calendar year exceeds $1 million, OR
  • You reasonably expect the turnover to exceed $1 million in the next 12 months.
Alternatively, you may choose to register for GST voluntarily, subject to conditions for voluntary registration.

For more information about GST registration, please visit the IRAS website.

Sole Proprietorships

The business income earned by a sole proprietor will be assessed in their name. Their assessable income will be the total income after deducting any brought-forward trade losses and donations.

GST registration will be in the sole proprietor's name. To determine their liability for GST registration, they must consider:

  • The turnover of all their sole-proprietorship businesses
  • Income from their trade, profession, and vocation (e.g., taxi driver, hawker, commission agent, freelancer, etc.)

Partnership

Partnership Income Taxation: The divisible profit or loss from a partnership will be assessed under the partners' names, with each partner taxed accordingly:

  • For individual partners, their share of partnership income will be taxed at their personal income tax rate.
  • For corporate partners, their share of partnership income will be taxed at the corporate tax rate.

GST Registration for Partnerships: GST registration will be in the partnership's name. To determine the partnership's liability for GST registration, the turnover of all partnership businesses established by the same group of partners must be aggregated.

Limited Liability Partnership

Limited Liability Partnership (LLP) Income Taxation: Each partner in an LLP will be taxed on their share of the LLP's income:

  • Individual partners: Their share of income from the LLP will be taxed at their personal income tax rate.
  • Corporate partners: Their share of income from the LLP will be taxed at the corporate tax rate.

GST Registration: The GST registration will be in the name of the LLP.

Limited Partnership

Limited Partnership (LP) Income Taxation: Each partner in a LP will be taxed on their share of the LP's income:

  • For individual partners, their share of LP income will be taxed at their personal income tax rate.
  • For corporate partners, their share of LP income will be taxed at the corporate tax rate.

GST Registration for Limited Partnerships: GST registration will be in the LP's name. To determine the LP's liability for GST registration, the turnover of all partnership businesses established by the same group of partners must be aggregated.

Company

Company Income Taxation: For income tax purposes, a company is taxed in its own name.

GST Registration for Companies: GST registration will be in the company's name. To determine its liability for GST registration, the company must aggregate:

  • Its own turnover
  • The turnover of all its sole proprietorship businesses (if any)

Medisave Contribution for Self-employed Persons

All self-employed persons who earn an annual net trade income exceeding $6,000 are required to contribute to Medisave. This requirement applies only to Singapore Citizens and Permanent Residents. For more information on Medisave contributions, please visit the Central Provident Fund Board (CPFB) website.

Please note: An existing business registration may be subject to early cancellation if Medisave contributions are not kept up to date.

Employment Obligations for Employers

The WorkRight initiative helps employees and employers understand their respective rights and obligations under the Employment Act and Central Provident Fund Act. For more information, please visit the WorkRight website.

Cyber Security for Businesses

Cyber attacks can damage a business's reputation, finances, and operations, potentially resulting in significant economic losses. To learn how to enhance your business entity's cyber resilience, please visit the Go Safe Online website.

 

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