Company in Singapore: Offshore or Not

Is Singapore an offshore jurisdiction?

IRAS taxes the chargeable income of both local and foreign companies at 17%. Certain categories benefit from reliefs and temporary rebates. For YA 2026, tax payable is reduced by 50% under the CIT Rebate, with an overall cap of S$40,000 including the cash grant. The terms of these reliefs change from year to year, so we start every calculation from the headline rate.

A company becomes tax resident when the control and management of its business are exercised in Singapore, meaning that strategic decisions are made there. Usually this is where the board of directors meets, though IRAS looks at all the facts. A company managed from another country is non-resident.

As of October 9, 2026, Singapore is not on the EU list of non-cooperative jurisdictions.

Key facts about a company in Singapore

Who Singapore company formation suits

• A regional office or headquarters for Southeast Asia.
• SaaS and IT businesses with a team or clients in the region.
• Trade with Asian suppliers when management sits locally.
• A holding company for Asian subsidiaries.

For a founder who lives in Europe and serves EU clients, this structure usually adds the cost of a local director and company secretary without any tax benefit. For trade with China we compare it with Hong Kong, and for a holding company with the BVI. Detailed pairings are in our comparisons with Hong Kong and with the UAE.

Director, secretary and auditor: ACRA requirements

• Under section 145 of the Companies Act 1967, a company must have at least one director who is ordinarily resident in Singapore. A director is an individual aged at least 18. Where there is a single member, the sole director may also be the sole member.
• A company secretary is appointed within six months of incorporation. This is an individual who meets the local residency requirements and is not the same person as the sole director.
• An auditor is appointed within three months of incorporation, unless the company qualifies for an exemption.
• Changes of officers are filed through BizFile within 14 days.

On the day of incorporation, a nominee director informs the company of their nominee status and gives the details of the person who nominated them. That is why we set out the powers of the local director, the bank signatories and the decision-making procedure before incorporation.

Register of controllers and nominee directors

The Companies and Limited Liability Partnerships (Miscellaneous Amendments) Act 2024 has been in force since June 16, 2025. A new company keeps a Register of Controllers from the date of incorporation and on the same day files with ACRA the details of its controllers, nominee directors and nominee shareholders. ACRA maintains central registers of nominee directors and nominee shareholders. Controller information must be confirmed every year by a signed and dated statement, and changes must be recorded within seven calendar days.

If the local director is provided by a corporate service provider, their status as a nominee director and the details of who nominated them go on record with ACRA. So we agree the nominee director agreement, their powers and the bank signatures before incorporation. General rules on disclosing owners in different countries are in our guide to beneficial owners (UBO).

How much Singapore company formation costs

ACRA fees are modest: a name application costs S$15 and incorporation S$300 (ACRA fee schedule as of January 29, 2026). Each year the company files an annual return for S$60, and an extension of time for the accounts or the annual general meeting costs S$200. A late annual return costs S$300 if it is up to three months late and S$600 beyond that, and missed deadlines can also lead to fines, disqualification of directors and striking off the company.

Most of the budget goes on services: the local director, company secretary, registered address, bookkeeping, tax filings and the audit, if there is no exemption. We price these for your business model; the lines that make up the full cost are shown in our guide how much an offshore company costs.

Documents and KYC

The corporate service provider and the bank check all founders and beneficial owners. The usual package includes:

• passports and proof of address;
• an ownership chart and the founders’ roles;
• a business plan: markets, clients, the local team;
• evidence of the source of the starting capital.

Annual filings with ACRA

Every year the company files an annual return with ACRA through BizFile and gives details of its annual general meeting: the date of the meeting or the basis on which none was held. ACRA decides by company type whether financial statements must be filed in XBRL format. Tax filings go to IRAS separately. All deadlines are tied to the end of the financial year, so we draw up the calendar right after incorporation.

Sample calendar for a financial year ending December 31

• by March 31: estimated chargeable income (ECI) to IRAS, within three months after the year end;
• by June 30: annual general meeting (AGM) of a non-public company, within six months;
• by July 31: annual return to ACRA, within seven months;
• by November 30: tax return on Form C-S, Form C-S (Lite) or Form C.

A private company may skip the AGM if all members have resolved to dispense with meetings or if the financial statements are sent to members within five months after the year end. ECI need not be filed if annual revenue does not exceed S$5 million and the ECI is nil. Form C-S is available to companies with revenue of up to S$5 million that meet the other IRAS conditions.

Audit exemption for a small company

A private company is exempt from audit as a small company if, for the two most recent consecutive financial years, it meets two of ACRA’s three criteria: revenue of up to S$10 million, total assets of up to S$10 million, and no more than 50 full-time employees at the year end. A company less than two years old tests the criteria against the current year. For a subsidiary, the same criteria apply to the whole group on a consolidated basis, including the group’s foreign companies.

In February 2026 ACRA began reviewing the thresholds and consulting businesses, so we check the criteria as of the year-end date. The company keeps accounting records and prepares financial statements to the standards in any case, and members holding 5% or more of the shares can require an audit. How to get the books ready for an audit is covered in our guide to accounting and audit.

A bank account for a Singapore company

The bank looks at the owners, the type of business and its connection with the region. A trading hub will need to evidence its flows of goods and money; a startup, its business plan, founding team and the role of the local team. Incorporation on its own does not guarantee an account, so we prepare the bank package in advance under our bank account for an offshore company service.

Tax reliefs, dividends and payments to non-residents

For a new company, IRAS applies the exemption under section 43 of the Income Tax Act 1947 for the first three consecutive years of assessment (YA): 75% of the first S$100,000 of normal chargeable income and 50% of the next S$100,000, up to S$125,000 a year in total. The company must be incorporated in Singapore, be tax resident there in that year, and have its entire share capital held directly and beneficially by no more than 20 shareholders; IRAS sets further conditions on who these shareholders are. Investment holding companies and developers that build property for sale or investment cannot use this exemption. From the fourth year a partial exemption applies: 75% of the first S$10,000 and 50% of the next S$190,000.

Dividends paid by a resident company under the one-tier system are not taxed in Singapore: the tax the company has paid is final. A non-resident owner treats the dividends under the rules of their own country.

If a Singapore company pays a non-resident royalties, interest or fees for technical services, it withholds tax at source and pays it to IRAS. We work out the rate and any reduction under a double tax treaty for the specific payment.

The right to own shares and the right to work in Singapore are obtained separately. Under Ministry of Manpower rules, every foreigner who intends to work in the country must hold a valid pass; founders can apply for an EntrePass, and professionals and executives for an Employment Pass.

The owner’s taxes and CFC rules

The 17% rate and the reliefs apply to the company itself. The owner’s country of residence may tax its profit under CFC rules or when dividends are paid. General approaches to such rules are set out in the OECD BEPS Action 3 report, and a tax advisor runs the calculation for your country.

Two-year budget for an offshore company in Singapore

We build the estimate for 24 months: incorporation and the corporate service provider, a local director, a company secretary, an address, bookkeeping, the annual return, tax filings and the audit if there is no exemption. For a business with a local team we add an office, hiring, payroll and work passes. We first calculate at the 17% headline rate and add reliefs once their conditions are confirmed. Describe in your request the markets, the owners, the hiring plan and the settlement currencies.

Buying an offshore company in Singapore: shelf companies

A shelf company in Singapore, meaning one incorporated in advance, can be found on request among our shelf offshore companies. Before the purchase we check its ACRA filings, its tax liabilities with IRAS and the appointed director and secretary. After the deal the bank checks the new owner. The timeline for a new company depends on the KYC review and the appointment of a local director; we give a schedule after reviewing your case.

Frequently asked questions