Longer grace periods for companies under new tax frameworks: IRAS

The frameworks were co-developed with the Big 4 accounting firms.

Longer grace periods and waivers are amongst the benefits that companies can get when they voluntarily disclose tax errors under the new tax frameworks co-developed by the Inland Revenue Authority of Singapore (IRAS).

IRAS said the Tax Governance Framework (TGF) and the Tax Risk Management and Control Framework for Corporate Income Tax (CTRM) would help strengthen tax compliance amongst companies in the country.

TGF and CTRM were co-designed with Singapore Chartered Tax Professionals (SCTP), Big 4 accounting firms and several large companies.

Four large corporate groups, including Singtel, also tested the principle-based frameworks.

READ MORE: IRAS rolls out 2 new tax frameworks

“The pilot programme was a good opportunity for us to collaborate with IRAS on a proactive review of our tax risk management practices,” Arthur Lang, Singtel Group Chief Financial Officer, said.

SCTP Chairman Mr Low Weng Keong, for his part, encouraged companies to adopt the frameworks saying it will help companies “put in place a systematic structure that would prepare them for the future as well as reinforce Singapore as a responsible and transparent location for business.”