GST Registration Singapore | Register for GST with IRAS

I had video calls with two e-commerce sellers last month - both doing similar revenue, both needing help with GST registration in Singapore. First seller hit $1.2 million in annual taxable supplies. He had 30 days to register or face penalties. Second seller was at $800,000, growing fast, wondering if voluntary registration made sense. Same service needed, completely different situations, different advice for each.

GST registration isn't one-size-fits-all. Some companies must register by law. Others can choose. Some benefit from registering early. Others should wait. The decision depends on your specific business situation.

That first seller? We registered him immediately. The 30-day clock was ticking. That second seller? We advised waiting six months. His customers were all consumers (not businesses), so charging GST would just make his prices less competitive. No benefit to early registration for him.

This page explains when you must register for GST, when you can register voluntarily, the pros and cons of registration, and how the application process works.

What GST Registration Actually Means

GST registration means IRAS gives you a GST registration number. Once registered, you must charge 9% GST on your taxable supplies, collect it from customers, and remit it to IRAS quarterly.

But registration also lets you claim input tax - the GST you pay on business purchases. This is the main benefit. You buy equipment for $10,900 ($10,000 + $900 GST). If you're GST-registered, you claim back that $900.

What changes after registration:

• You charge 9% GST on sales
• You claim back GST on purchases
• You file quarterly GST returns
• You display prices as "$X + GST" or "$X (incl GST)"
• You must issue proper tax invoices
• Your accounting becomes more complex

A trading company in Paya Lebar registered for GST. They immediately started claiming input tax on their inventory purchases. First quarter, they got $15,000 GST refund from IRAS. The GST they paid suppliers exceeded GST they collected from customers. Registration gave them better cash flow.

When You Must Register for GST

Singapore law requires GST registration when your annual taxable supplies exceed $1 million. This is a 12-month rolling calculation.

Two scenarios trigger mandatory registration:

Retrospective Basis: Your taxable supplies in the past 12 months exceeded $1 million. You must register within 30 days of exceeding the threshold.

Prospective Basis: You expect your taxable supplies in the next 12 months to exceed $1 million. You must register within 30 days of forming this expectation.

What counts as "taxable supplies"? Standard-rated supplies (charged at 9%) and zero-rated supplies (exports, international services). Exempt supplies (financial services, residential property) don't count toward the $1 million.

Miss the 30-day deadline and IRAS charges penalties. They can backdate your registration and assess you for GST you should have collected but didn't. This gets expensive fast.

A logistics company in Woodlands hit $1 million in June but didn't register until September. IRAS backdated their registration to June. They had to pay GST on three months of sales where they didn't charge customers GST. Cost them $18,000 they couldn't recover from customers.

Voluntary GST Registration

Companies below $1 million can register voluntarily. This makes sense in certain situations.

When voluntary registration helps:

You Sell to Businesses (B2B): Your customers are GST-registered companies. They can claim back the GST you charge them. It doesn't increase their cost. Meanwhile, you claim input tax on your purchases. Net benefit to you.

You Export Goods: Exports are zero-rated (0% GST). You don't charge GST to overseas customers. But you claim input tax on local purchases. You get GST refunds every quarter.

High Setup Costs: You're starting a business with major equipment purchases. Register first, claim input tax on everything you buy. Saves significant cash.

Approaching $1M: Your revenue is $900,000 and growing. Register voluntarily now instead of scrambling when you hit $1 million.

When voluntary registration hurts:

• You sell to consumers (B2C) - they can't claim GST, so your prices become 9% higher
• You make exempt supplies - you can't charge GST but must absorb GST on purchases
• Low expenses - if you buy little, there's little input tax to claim
• Administrative burden - quarterly GST filing and compliance costs

An online retailer in Jurong sells direct to consumers. Revenue is $600,000. All sales to individuals who can't claim GST. We advised against voluntary registration. Charging GST would make them 9% more expensive than competitors. No benefit to registering early.

Tax Preparation Service for GST Registration

Applying for GST registration isn't just filling out a form. You need to prepare properly.

What we do for GST registration:

Step 1: Assess If Registration Required

Review your past 12 months revenue. Calculate taxable supplies. Determine if you've crossed $1 million. Check if you're approaching the threshold soon.

Step 2: Evaluate Voluntary Registration

If you're below $1 million, should you register anyway? We analyze your customer base, purchase patterns, and business model. Give you a clear recommendation.

Step 3: Prepare Application Documents

Business profile, revenue breakdown, list of suppliers and customers, accounting system details, bank account information. IRAS needs comprehensive information.

Step 4: Submit to IRAS

Complete the online application through myTax Portal. Answer all questions accurately. Submit supporting documents.

Step 5: Set Up Systems

Once approved, configure your accounting system for GST. Update invoice templates. Train staff on GST procedures. Get ready for your first GST filing.

A construction company applied for GST registration themselves. They made errors in the revenue calculation - included exempt supplies by mistake. IRAS rejected the application. They had to reapply with correct information. Delayed their registration by six weeks. Get it right the first time.

Accounting Firm Role in GST Registration

Professional accounting firms handle the technical and strategic aspects of GST registration.

We Calculate Correctly: Determining taxable supplies isn't always straightforward. Mixed supplies, part-exempt transactions, overseas income. We know how to classify everything correctly.

We Time It Right: If you're approaching $1 million, when should you register? Too early means unnecessary compliance costs. Too late means penalties. We advise on optimal timing.

We Handle IRAS Queries: Sometimes IRAS asks questions about your application. Why do you need GST registration? What's your business model? We respond professionally with proper documentation.

We Prepare You for Compliance: Registration is just the start. We make sure your systems are ready for quarterly GST filing from day one.

One client in CBD wanted voluntary registration. IRAS asked why they wanted to register with only $400,000 revenue. We explained they export 80% of goods (zero-rated) and want to claim input tax on local purchases. IRAS approved. Proper explanation matters.

Bookkeeping Service Setup for GST

GST registration changes your bookkeeping requirements. You need GST-compliant accounting from day one.

What changes in your bookkeeping:

GST Codes for Every Transaction: Every sale and purchase needs a GST code. Standard-rated (SR), zero-rated (ZR), exempt (ES), out-of-scope (OS). Wrong codes = wrong GST returns.

Tax Invoice Requirements: Your sales invoices must show GST separately, include your GST number, show customer details. Missing information means customers can't claim input tax.

Supplier Verification: Before claiming input tax, verify suppliers are GST-registered. Keep their GST numbers on file. IRAS checks this during audits.

Monthly Reconciliation: Reconcile GST monthly so quarterly filing is just a summary. Don't wait until filing deadline to sort out GST issues.

If you're registering for GST, set up proper bookkeeping at the same time. Trying to retrofit GST into messy books later is painful and expensive.

A retail shop registered for GST but kept using their old cash-basis bookkeeping. When first GST return was due, they had no idea what GST they'd collected or paid. We had to reconstruct three months of transactions from receipts. Cost them $2,000 in accounting fees. Set up GST bookkeeping from the start.

Chartered Accountant Advice on GST Strategy

Chartered accountants think strategically about GST registration timing and structure.

Strategic considerations:

Group Registration: Multiple related companies can register as a GST group. Supplies between group members are disregarded. Simplifies administration and can improve cash flow.

Business Structure: Sometimes restructuring before GST registration makes sense. Separating B2B and B2C operations into different entities. Each company assessed separately for registration.

Cash Flow Impact: GST registration affects cash flow. You collect GST from customers (good) but pay GST to suppliers (bad). Net impact depends on your margins and payment terms.

Exemption Considerations: If you make mostly exempt supplies (like financial services), GST registration might hurt. You can't charge GST but must absorb GST on purchases.

A property developer had two companies - one for residential (exempt), one for commercial (taxable). We structured them so only the commercial company registered for GST. The residential company stayed out. Saved them from unrecoverable input tax on residential projects.

Tax Advisor Input on Registration Decision

Tax advisors evaluate the full picture - not just GST, but how it affects your overall tax position.

Tax planning around GST registration:

Timing Major Purchases: Planning big equipment purchase? If you're registering for GST soon, time it after registration so you can claim input tax.

Price Adjustments: Once GST-registered, do you absorb GST or pass it to customers? This affects pricing strategy and competitiveness.

Corporate Income Tax: GST is separate from income tax, but affects business decisions that impact income tax. We look at the complete tax picture.

Deregistration Planning: If your revenue drops below $1 million, should you deregister? There are pros and cons. We advise based on your situation.

A consulting firm was about to register voluntarily. We calculated that GST registration would improve their position by $8,000 per year through input tax claims. But their clients were price-sensitive. Adding 9% GST might lose them clients. We ran scenarios. Final advice: wait until mandatory registration. Saved them from potential revenue loss.

GST Registration Process Timeline

Here's what to expect:

Week 1: Assessment and Preparation

We review your situation, gather information, prepare application documents. Make sure everything is accurate.

Week 2: Application Submission

Submit application through IRAS myTax Portal. IRAS acknowledges receipt immediately. Processing time varies.

Week 3-4: IRAS Processing

IRAS reviews your application. Might ask questions or request additional documents. We respond promptly.

Week 4-6: Approval

IRAS approves and assigns your GST registration number. They tell you your effective registration date (usually prospective, not backdated if application was timely).

Post-Approval: System Setup

Configure accounting system, update invoices, notify customers and suppliers, prepare for first GST filing.

Total timeline: 4-8 weeks from start to approval. Plan ahead. Don't wait until you're past the mandatory threshold.

Common GST Registration Mistakes

Errors we see often:

Late Registration: Crossing $1 million and not registering within 30 days. IRAS backdates registration and you owe GST you didn't collect.

Wrong Revenue Calculation: Including exempt supplies in the $1 million calculation. Only taxable supplies count.

Registering When Unnecessary: Small B2C businesses registering voluntarily when it just makes them more expensive. No benefit.

Not Preparing Systems: Registering for GST but not setting up proper bookkeeping. First GST filing becomes a nightmare.

A food delivery service thought their $1.5 million revenue meant they must register. We checked - $400,000 was from residential property rental (exempt). Only $1.1 million was taxable supplies. They did need to register, but calculation wasn't as simple as total revenue.

What GST Registration Actually Costs

• Mandatory GST Registration: $500-$800
• Voluntary GST Registration: $600-$1,000

What's included:

• Assessment of registration requirement
• Revenue calculation and analysis
• Application preparation
• Submission to IRAS
• Response to IRAS queries
• Accounting system setup advice

Voluntary registration costs slightly more because it includes business case assessment and strategy advice. We make sure registration actually benefits you.

Getting Your GST Registration Done

Here's what we need from you:

• Past 12 months revenue breakdown
• Description of business activities
• List of main customers (types, not names)
• List of main suppliers
• Accounting system details
• Business registration documents
• Bank account information

We'll assess your situation, prepare the application, submit to IRAS, and get you registered. Then we'll help set up your GST bookkeeping so you're ready for quarterly filing.

Why Companies Choose Us for GST Registration

"You advised waiting on voluntary registration. Saved me from charging GST to price-sensitive customers. Smart advice."

"We hit $1M on June 15. You had us registered by July 10. No penalties, no stress."

"IRAS questioned our voluntary registration. You explained our export business clearly. Approved in two weeks."

"You set up our GST bookkeeping properly from day one. First GST filing was smooth."

We're ACCA and SQP top graduates, ex-Big 4 audit managers, and Singapore Chartered Accountants. We've handled hundreds of GST registrations. We know IRAS procedures. We respond within 1 hour. We get it done right.