Estimated Chargeable Income (ECI)
Estimated Chargeable Income (ECI) is a key concept in Singapore’s tax system, representing a company’s estimate of taxable profits after allowable expenses.
What is ECI
A company’s ECI is an estimate of its taxable profits (after deducting tax-allowable expenses).
Filing for ECI: What You Need to Know
ECI must be filed within 3 months of the end of your financial year, unless:
- You qualify for the ECI filing waiver; or
- ECI filing is not required for your company.
ECI Waiver
Both criteria must be met for your company to not have to file ECI:
- Annual revenue (the company’s main source of income) does not exceed $5 million; and
- YA’s ECI is zero. It should be the amount left after deducting the exempt amount under the partial tax exemption scheme or the start-up tax exemption scheme
The following companies do not need to file ECI:
- Ship owners or charterers whose local shipping agents have submitted or will submit the Shipping Return
- Foreign universities
- CPF unit trusts and designated unit trusts
- Property investment trusts that have been granted tax treatment under Section 43(2) of the Income Tax Act 1947
- Waivers granted by IRAS for cases in which ECI is not required