Tax Clearance for Foreign Employee
2020-02-29
Financial Year(FA)
2020-03-19
When a Singapore company is incorporated, you need to know the difference between authorized registered capital and real capital.
Registered Capital
On behalf of the company's largest financial commitment that the shareholders have promised and are willing to bear
The registered capital of Singapore companies starts at 1 SGD with no ceiling.There is no strict time limit for the full payment of registered capital of Singapore companies and no stamp duty is levied.
Paid-in capital
It refers to how much money he actually injected into the company after the shareholder promised this financial responsibility.
There is no requirement for capital to be in place, that is, there is no requirement for deposit in the company's bank. However, if the part is not fully paid, the debts are borne by shareholders. At the same time, if you want to apply for a permit, the funds need to be actually in place.
What is the difference between registered capital and paid-in capital? Are the two equal?
Answer: The actual capital should in principle be the same as the registered capital. If it is not fully paid, it will be regarded as a director's loan.
