Singapore offers various business structures, including sole proprietorships, partnerships, LLPs, and private limited companies. The legal framework for company formation is governed by the Companies act provides clear guidelines and procedures for company, registration, governance, and compliance. Singapore has a competitive and transparent tax system that attracts businesses. The country operates on a territorial tax system, where only income derived from Singapore and certain foreign-sourced incomes are taxed. The current corporate income tax rate is capped at 17%.
To create a company in Singapore, the following steps are required:
- Company Name Reservation: The proposed company name must be approved by the Accounting and Corporate Regulatory Authority (ACRA).
- Company Registration:
- Submit the required documents to ACRA, such as the company’s constitution, details of directors and shareholders, registered address, and capital. ACRA reviews the application and issues the Certification of Incorporation upon approval.