These trends and figures from the IRAS reaffirm that GST is assuming an increasingly greater role as a key driver of government revenue. The IRAS will continue to place more emphasis on GST audits. It has in fact for the first time, publicly named the sectors it is focusing its GST audits for this year. They include the wholesale electronics traders, SME manufacturers, motor traders and marine fuel traders.

Once the IRAS initiates an audit, a significant amount of resources will be required to deal with the issues and tax position, plus the possibility of tax penalties. Whether or not your business falls into any of the above sectors, it is advisable to start the self review process early to avoid the hassle of an audit. This is especially so if you have been one of many businesses which traditionally pay more attention to corporate tax than GST, and have been preparing your GST returns for years, not knowing if they are in order.

GST is a self-assessed tax and the rules are complex. Businesses without dedicated resources may find it a challenge to keep abreast of changes in the rules and applying them correctly on transactions.

You can save yourself the hassle of a GST audit by having your returns checked by a GST specialist to determine if the past GST reporting had been in order. How can you be sure, for example, that the numbers you have submitted would not lead to any tax undercharged or overclaimed? A GST return review will help uncover erroneous submissions and help you take corrective actions, tapping on the IRAS Voluntary Disclosure Program (VDP) to mitigate your penalty exposure. The review will also help resolve any errors uncovered before the IRAS knocks on your door. If no major issues or errors are identified, you have the peace of mind that the Company has a "clean bill of health".

RSM Chio Lim's GST team offers professional GST assistance to conduct reviews of GST returns, with the aim to help get things right and enhance your level of GST compliance. A 'report card' will be delivered which will shed light on your internal GST compliance readiness and competence. Act now before the IRAS calls upon you.

Contact any of the following GST specialists for a discussion. We will be happy to provide more information.