Come 1 January 2024, the GST rate in Singapore will be raised from 8% to 9%, as part of the two-step GST rate change announced by the Minister for Finance in Budget 2022.
As advised by the Singapore Government, businesses should avoid three common errors during this transition period:
- Error 1: Charging GST at 9% before 1 January 2024
- Error 2: Charging or displaying GST at 8% on/after 1 January 2024
- Error 3: GST amount is computed correctly but wrong GST rate is reflected on receipts/invoices issued
For more information please visit: https://www.gobusiness.gov.sg/news-and-updates/news/gst-rate-2024#:~:text=Come%201%20January%202024%2C%20the,earlier%20on%201%20January%202023.
What changes in Xemplo?
Xemplo, in preparation for this change, has added a 9% tax option for Singapore-based companies. This option is available within company settings, invoices and RCTIs.
What do I need to do?
Xemplo won’t be automatically changing tax rates on 1st January, as the changing of the tax rate is dependent on when clients finalise their 2023 invoices. When you have completed 2023 invoices you must adjust the default tax settings so that 2024 invoices are generated with the new tax rate.
How to adjust tax settings
Go to Company Settings for your agency
Click on Invoice settings
In the section labelled Tax settings, click on the Edit button
Adjust the tax to be used for invoicing and RCTIs accordingly
Click Save to save the changes
For more information
If you have any questions regarding the adjustment of tax rates in Xemplo please contact our support team via support@xemplo.com.