Two benefits if corporate tax returns are filed via software
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The waiver does not apply to errors made without reasonable excuse through negligence, or with wilful intent to evade tax.
PHOTO: ST FILE
SINGAPORE - Companies and tax agents filing corporate income tax (CIT) returns seamlessly from software will enjoy up to two benefits for the years of assessment (YA) 2023 to 2025, the Inland Revenue Authority of Singapore (Iras) has announced.
First, those filing Form C-S returns seamlessly from software will get a 15-day automatic extension of the filing due date, while Iras will grant a two-week extension of goods and services tax (GST) filing due date upon request.
Form C-S is a simplified version of a three-page income tax return form used by companies to report their income to Iras.
Second, Iras will waive penalties for errors made in the returns due to unfamiliarity with the use of the software.
The waiver is applicable to Form C-S, GST F5 and F8, Auto-Inclusion Scheme (AIS) submissions, and tax clearance for foreign and Singapore permanent resident employees (IR21) returns due from Jan 1, 2023, to Dec 31, 2025, that are filed by their respective filing deadlines.
The waiver does not apply to errors made without reasonable excuse through negligence, or with wilful intent to evade tax.
Said the taxman: “This is part of Iras’ digitalisation blueprint to provide a hassle-free tax filing experience for companies and tax agents by integrating tax into the systems that businesses use in their daily operations.”
By using the software, businesses can prepare and file Form C-S within 15 minutes – a 95 per cent saving on time – as their tax computations and returns will be automatically generated and filed, said Iras.
They can also reduce potential transposition errors by eliminating the need for manual data entry in myTax Portal, and improve the accuracy of Form C-S with software features such as pre-filling of tax data.
Companies and tax agents that are keen to adopt seamless filing from software can refer to Iras’ Accounting Software Register Plus on its website
Iras said that all companies, including those with no business activities or those in a loss position, should file their YA 2022 CIT returns by Nov 30.
Not filing the CIT return by the due date is an offence under the Income Tax Act 1947, and offenders may be fined up to $5,000.
Companies are also encouraged to opt for digitised notices, said Iras. Those who have yet to do so can update their e-mail address and notification preference via the Update Notice Preferences digital service in myTax Portal to begin receiving e-notifications from Iras.
Companies which need further help on the YA 2022 tax filing can visit the Iras website, contact Iras via myTax Mail, or call the helpline on 1800-356-8622.
