IRAS has recently introduced Form C-S, a new simplified tax return for small companies starting from the Year of Assessment 2012.
Form C-S is actually a shortened 3-page Income Tax Return for small companies to report their income to IRAS. To be eligible, companies need to fulfill certain conditions such as having annual turnover not exceeding $1 million.
However, companies are still required to prepare their financial statements and income tax computations. These records are to be retained and need only to be furnished to IRAS upon their request.
Therefore, even with the introduction of simplified tax returns, companies should not think that they can reduce the amount of effort and time to be spent on their accounts and tax.
Get in touch with your tax advisor or accountant now!