It was reported in IRAS’ website on 28 March 2014 that Midas Promotions Pte Ltd (“Midas”), a sports and concerts event promoter, was ordered to pay about $786,000 in taxes and penalty and a court fine of $7,000 for failing to inform the Comptroller of Goods and Services Tax (“GST”) of its liability to register for GST.
What happened was that IRAS’ investigations revealed that Midas’ taxable turnover already exceeded $1 million for the four quarters ending 30 Jun 2004, 30 Sept 2004, 31 Dec 2004 and 31 Mar 2005. It failed to inform the Comptroller of GST of its liability to register for GST within 30 days of the end of 31 Mar 2005, that is, by 30 Apr 2005. IRAS conducted further checks with a ticketing company which provided services to Midas and confirmed that the total value of all of Midas’ taxable supplies made in Singapore exceeded $1 million during the relevant period. As a result, a total GST amounting to $714,696.87 between 1 Jun 2005 and 30 Apr 2012 was not accounted for by Midas. In addition to paying the GST, Midas has to pay a penalty equal to 10% of the amount of the tax due. This amounted to $71,469.69. Midas was also fined $7,000 by the Court.
Please note that there are penalties for failure to register the GST in Singapore. If you have any questions, please contact us at firstname.lastname@example.org.