Financial Periods Commencing earlier than 1 January 2003 The principal supply of accounting principles in Singapore, specifically Statements of Accounting Requirements (SAS) and Interpretation of Statements of Accounting Requirements (INT), are issued by ICPAS.
Audit Exemption Starting with the financial 12 months beginning on or after 15 Might 2003, the next corporations are no longer required to have their accounts audited. So, developing international locations discover it very troublesome to face competition from developed international locations. All firms integrated under the Firms Act are required to maintain books of accounts that sufficiently explain the transactions and financial place of the company.
Compliance with IASC requirements are not mandatory, but the institute helps the IASC aims of formulating and publishing standards for observance during presentation of audited financial statements and selling worldwide acceptance of such standards.
ICPAS is a member of the Worldwide Accounting Requirements Committee (IASC). Corporations which meet particular provisions within the Companies Act may be exempt from having their accounts audited but however must prepare monetary statements that comply with the Companies Act.
With the Corporations (Accounting Requirements) Laws 2002 coming into operation for monetary durations on or after 1 January 2003, a complete set of monetary statements will comprise the balance sheet, revenue statement, statement of changes in equity, cash circulation statement and explanatory notes.
These requirements are primarily International Accounting Requirements (IAS) modified for sure transitional provisions. The competitors is between unequal companions i.e. developed and growing nations. The Institute of Certified Public Accountants of Singapore (ICPAS) is the national body representing the accounting career in Singapore.
The financial statements have to be accompanied by the administrators’ and auditors’ stories and by an announcement from the directors declaring that the financial statements show a real and honest view and that it’s reasonable to imagine that the company can reasonably pay its debts as they become due.