What are the benefits of setting a Financial Year End within 12 months from the date of incorporation?

How to decide accounting year-end for your Singapore Registered Company?

Most of the businesses set their Financial Year End on the last day of the 11th month of their incorporation. The benefits of setting an FYE within 12 months from the date of incorporation are:

• Full S$100,000 tax exemption for the eligible companies
• A financial year longer than 12 months is considered as two years of assessment by the Inland Revenue Authority of Singapore hence affects your tax exemption eligibility.