As a business, you must register for GST when:
- Your taxable turnover for the past 12 months ending Mar, Jun, Sep or Dec (referred to as "quarter") is more than $1 million; or
- You are making or intend to make taxable supplies and you can reasonably expect your taxable turnover in the next 12 months to be more than $1 million (e.g signing of a sales contract or business agreement).
If your business does not exceed $1 million in taxable turnover, you may still choose to voluntarily register for GST after careful consideration.
Charging and Collecting GST
Once you have registered for GST, you must charge GST on your supplies at the prevailing rate. This GST that is charged and collected is known as output tax. Output tax must be paid to IRAS.
The GST that you incur on business purchases and expenses (including import of goods) is known asinput tax. If your business satisfies the conditions for claiming input tax, you can claim the input tax on your business purchases and expenses.
This input tax credit mechanism ensures that only the value added is taxed at each stage of a supply chain.
Paying Output Tax and Claiming Input Tax Credits
As a GST-registered business:
- You must submit your GST return to IRAS one month after the end of each prescribed accounting period. This is usually done on a quarterly basis.
- You should report both your output tax and input tax in your GST return.
- The difference between output tax and input tax is the net GST payable to IRAS or refunded by IRAS.
At the GA Group, we provide you with guidance and assistance services on the, GST calculation, GST form completion formalities and monthly/quarterly GST returns to IRAS. We will strive to make your GST Singapore registration process simple and convenient.
Please feel free to contact us at +65 6423 1078 / 9488 5722 or drop in an email at firstname.lastname@example.org
Mr. Kaliyaperumal Jayaram
Finance & Operations Manager
The GA Group Pte Ltd
+65 9488 5722 (Mobile) / 6423 1078 (Office)