Quick answer
For IRAS purposes, a dormant company still needs to file its Corporate Income Tax Return unless it has obtained a waiver. Directors should confirm whether the company had any income, investments, GST registration or prior outstanding returns before using dormant filing or applying for waiver.
- Dormant company tax filing is an IRAS issue separate from ACRA annual return.
- A waiver is not automatic; the company must qualify and apply where needed.
- IRAS waiver conditions include filing up to cessation, investment income checks and GST deregistration where relevant.
- A company that recommences business or receives income must inform IRAS.
- Keep records even when there is no revenue, because dormant status must be supportable.
What IRAS means by dormant tax filing
IRAS guidance states that a dormant company must file its Corporate Income Tax Return unless it has been granted a waiver to file Form C-S, Form C-S Lite or Form C. This is the key point many directors miss: having no sales does not automatically cancel the tax filing obligation.
A dormant company should still review bank interest, investment income, rental income, one-off invoices, reimbursements and expense recoveries. If the company received income, it may not be able to use the dormant filing route for that YA.
Waiver conditions directors should check
| Area | What to check | Why it matters |
|---|---|---|
| Dormant status | The company is dormant and likely to remain dormant. | Basic condition for waiver. |
| Filed up to cessation | Outstanding returns, financial statements and tax computations are settled. | IRAS should not be left with missing historical filings. |
| Investment ownership | Company does not own investments, or owns investments but derives no income from them. | Investment income can break dormant treatment. |
| GST status | Previously GST-registered company has deregistered for GST. | IRAS requires GST deregistration before waiver. |
| Advance YA filing | File required advance YA returns within the given timeline if applicable. | Waiver application may be rejected if follow-up filing is missed. |
Form for Dormant Company versus waiver
Filing as a dormant company for a particular YA is different from obtaining a waiver for future filing obligations. A company may file a dormant return for one YA, while a waiver can stop future Form C-S/Form C issuance from the approved date if the company continues to meet conditions.
IRAS guidance notes that once a waiver is granted from a specific date, the company does not need to apply yearly if it remains dormant. Directors should keep the approval letter and effective date with the company tax file.
Recommencement and income after waiver
If the company recommences business or starts receiving income after waiver, IRAS must be informed. IRAS guidance states that failing to inform IRAS after recommencement or receipt of income is an offence and that IRAS may take strong action against companies and directors who deliberately avoid filing obligations.
A recommencement review should include the first contract, first invoice, first income receipt, bank interest and investment income. The company may also need to restart ECI review and annual tax return filing.
Dormant tax workflow
Confirm activity
Review income, bank movement, investments, GST and contracts.
Clear historical returns
File required returns up to cessation of business.
Apply or file
Use dormant return or waiver route based on IRAS conditions.
Monitor yearly
Check whether any income or business activity restarted.
Income that can break the dormant position
Directors should pay close attention to income that feels incidental. Bank interest, fixed deposit interest, dividend income, rental income, one-off service income, reimbursement income and gains from investments may affect whether the company can be treated as dormant for the YA. The accounting file should show these items clearly instead of hiding them in bank movement.
Expenses alone do not necessarily mean the company has recommenced business. A dormant company may still pay registered office, company secretary, bank charges or strike-off preparation costs. However, the company should still keep those records because IRAS may ask what happened during the year.
If a company has an IRAS waiver and later receives income, directors should not wait until the next annual tax season. The recommencement should be assessed immediately, because IRAS expects companies to inform it when business recommences or income is received.
Coordinate IRAS waiver with ACRA filings
IRAS waiver only deals with corporate tax return filing. ACRA annual return, financial statements exemption and company register obligations are separate. A dormant company package should therefore track both agencies: one file for IRAS waiver and tax status, another for ACRA annual return and statutory records.
Service transfer notes
For dormant-company tax filing, prepare a focused transfer pack rather than scattered emails. Include the company profile, prior filings, working papers, notices, approvals, bank records and open questions that relate to this specific matter. A narrow pack helps the new adviser review the issue quickly without copying old assumptions into the next filing.
For dormant-company tax filing, unresolved points should be named in the file. If an amount is estimated, a document is missing, a prior filing may be wrong or a notice remains unanswered, record that fact clearly. A defensible file shows what is supported, what needs correction and what should be monitored later.
For dormant-company tax filing, ProSec’s preferred approach is to close the loop in writing: confirm the facts, identify the filing or tax consequence, list the supporting records and record the director’s decision before submission. That short note gives the company a practical audit trail.
Frequently asked questions
Is IRAS dormant waiver automatic?
No. The company must qualify and apply through the relevant IRAS digital service where waiver is needed.
Can a dormant company with bank interest file as dormant?
IRAS guidance indicates that a company receiving interest income may not be regarded as dormant for that YA.
Does IRAS waiver remove ACRA annual return filing?
No. ACRA annual return filing is separate and continues while the company is live.
Does a dormant company need to file ECI?
IRAS guidance says that if the company has been granted a waiver to file Form C-S/Form C, it need not file ECI.
What should I send ProSec for dormant tax filing?
Send prior tax returns, financial statements, bank statements, investment records, GST status, IRAS waiver letters and confirmation of whether the company received income.
Official sources
These sources support the regulatory points in this guide. Check the current official page and the company’s own documents before acting.
Need help with this?
ProSec helps Singapore companies turn corporate tax questions into clean filing records, director approvals and tax-ready documentation.
Dormant tax filing help