A dormant company is a company registered with the Singapore ACRA (Accounting and Corporate Regulatory Authority), but the company has not had any business activities in the past financial year, and has no business income or business expenses (except the basic cost of maintaining the company’s existence) ). Such a company can be considered a dormant company.

ACRA and Inland Revenue Authority of Singapore also have corresponding policies on dormant companies.

ACRA:

1. Dormant company can waive preparation of company’s financial report
2. Dormant companies may be exempt from annual shareholders’ meetings
3. The dormant company still has to submit an annual review declaration, but the declaration process is simpler.

Inland Revenue Department:

1. Dormant companies can waive ECI estimated tax declaration
2. Dormant companies still need to report corporate income tax, but companies that meet the following conditions can apply for exemption from filing tax returns:
   • The company does not conduct business or generate any revenue.
   • Until the end of its business activities, the company has submitted CS or C forms, financial statements and tax calculations.
   • The company must not own any investments (e.g. stocks, real estate, time deposits). If the company owns investments, it must not receive any income from those investments.
   • The company must have cancelled the GST registration. (The company is not a GST-registered company when filing a tax exemption)

The company does not expect to resume operations in the next two years.