Trading company in Singapore, how to quickly start working?

Singapore is one of the key financial, trade, and transportation hubs in the world. This city-state attracts entrepreneurs from all over the globe, thanks to its unique geographical location, attractive tax system, and clear procedures for conducting international trade. Establishing a business in Singapore opens up opportunities for entrepreneurs to expand their market reach and provides a unique chance to integrate into the international business community.

Licenses and Permits

If a company does not plan to import goods into the country, there is no need to obtain a trade license, unlike many other jurisdictions. If export-import activities are planned, it is necessary to register with Singapore Customs before starting operations. The account is activated within 1-2 working days.

For the import/export of all goods without exception, it is necessary to obtain IN and OUT permits through the TradeNet system. Some trade samples with a total value not exceeding 400 Singapore dollars on a CIF (cost, insurance, and freight) basis can be imported/exported without a permit.

Controlled goods require additional permission from regulatory authorities. Such goods include cigarettes and tobacco products, medicines, petrochemicals, animals, and food products.

Taxes and Fees

Some goods manufactured or imported into Singapore are subject to customs and/or excise duties. Taxable goods include alcoholic beverages, tobacco products, automobiles, and petroleum products. Taxes are levied on an ad valorem basis or at a fixed rate. The ad valorem rate is calculated as a percentage of the customs value of the imported goods.

Goods imported into Singapore for domestic consumption are subject to Goods and Services Tax (GST). From January 1, 2024, the GST rate is 9%. To collect GST, it is necessary to register with the Inland Revenue Authority of Singapore (IRAS). Special schemes are available for exporters and importers, allowing them to defer GST payment at the point of entry. The most efficient and convenient way to pay all fees, duties, and GST is through GIRO transfer directly from a bank account.

For more detailed information, please contact IT-OFFSHORE specialists.