If certain criteria are met, audited accounts are not required:
- No corporate shareholders; and
- Total number of shareholders less than 20; and
- Annual revenue does not exceed S$5 million.
Under the requirement of Companies Act Chapter 50, all limited liability companies have to prepare annual financial report in accordance to the requirement of Singapore Financial reporting Standards. The Financial Report has to be presented to the members of the company during the annual general meeting.
My company has already prepared monthly accounts, do I still need to prepare the annual financial report?
You still need to prepare the Financial Report as required by the Companies Act Chapter 50. This is due to the fact that accounts need to be consolidated annually and presented according to the financial reporting standards.
Your company will be in violation of Companies Act and will not be able to file the Annual Return to ACRA.