The Major Exporter Scheme (MES) is designed to alleviate the cash flow of companies that re-export a substantial amount of their imports. Under normal rules, businesses have to pay GST of the goods imported to Singapore Customs, and subsequently obtain a refund from IRAS after the submission of their GST returns. This can hinder cash flow for businesses that export goods substantially as no GST is collected from the zero-rated supplies to off-set their initial cash outflow on their imports. Companies approved under the MES can enjoy GST suspension for non-dutiable goods imported into Singapore, and on goods removed from a zero-GST warehouse.
GST-registered businesses who wish to apply for MES or existing MES traders who wish to renew their MES status, are required to perform a self-review of their past GST submissions under the GST Assisted Self-Help Kit (“ASK”).
ASK is a comprehensive self-assessment compliance package designed by IRAS to help GST-registered businesses improve their GST compliance level and review the accuracy of their GST submissions so as to discover past errors early. The early detection can allow businesses to make timely voluntary disclosure to the IRAS so as to qualify for reduced or no penalty. Non-MES businesses are also encouraged to adopt ASK for better GST risk management and compliance.
This webinar provides practical understanding of the MES, including its renewal process and an overview of the ASK. This will also enable businesses to implement the requisite controls before their MES application or next MES renewal.
A Highlight of Key Areas:
- Qualifying conditions of MES
- Importing goods on behalf of overseas principals using MES
- What is ASK?
- Features of ASK
- The different sections of ASK
- Section 1: GST Practices
- Section 2: Pre-filing checklists
- Section 3: Annual Review
- IRAS’s expectations of a MES trader and the good practices you should adopt
- Practical steps in performing a self-review of your GST returns in accordance with the GST ASK
- Common errors made by MES traders and how you can make use of the Voluntary Disclosure Programme to disclose the errors made to IRAS, where the penalties could be reduced