Do I need to have a company in order to import from oversea

[maydayof83]

Hi everyone,

I would like to know do I need to have a Pte. Ltd. company in order to import products (with LCL) from overseas for retail business?

Currently, I am planning to do a pushcart or flea market business. As far as I know is I have to do a business registration at ACRA in order to do a push cart business but don't need to set up Pte. Ltd. It is correct?

Have a nice day.
Mayday

[Strong Eagle]

Yes, you can set yourself up as a sole proprietor instead of a pte ltd.

[myshiningstar]

yup you can import from overseas with sole proprietorship too.

i've a query regarding imports too. If i've to import from overseas, will the overseas company pay the GST at our customs and bill me, or do i make the GST payment via online first? Need advice, thanks

[maydayof83]

Hi,
Thank myshiningstar and Strong Eagle. sorry for late acknowledge. I thought if i get reply on what i posted, i will get email, that why i didn't check on forum. maybe it's in spam mailbox.

mayday

[ksl]

GST is payable to release the goods at customs. Of course the sending company does not pay GST goods are normally sent FOB or CIF.

[maydayof83]

After i got my license and i started my business, but in case one day when i want to Stop or Change to other business, do i need to "Deregister" my license?
May i also know about the TAX matters. How much percent i would hv to pay TAX? For tax, is it same like pte. ltd. ? Don't need to pay within 3 years or have to pay as personal income tax even in first 3 years?

thanks

[louisloo]

For imports of goods, it depends on what mode of transport you are using. If you have the goods sent by parcel post, the postman will deliver your goods he will collect the GST from you.

If you are using Courier services, then the Courier companies will pay on your behalf and collect the gst from you when they deliver the goods.

If you are using Cargo agents, then they will contact you and get you to agree to pay them their services plus the gst before they clear the goods for you, unless you have already pre appointed them

If you intend to change your trade, company name, you can just simply log on to the ACRA website and change it online with the payment of some fees. There is no need to Deregister. But you must inform them if you wish to stop your business or trade.

Hope that help you.

[sundaymorningstaple]

If you business is a sole proprietorship then there are no tax breaks as the net profit is lumped with any other income you have received on your personal tax return and subjected to the personal income tax rates. A pte ltd, on the other hand, has a life of it's own once incorporated and is subject to taxes itself. As the director of the pte ltd, you may or may not have taxable income and CPF contributions depending on whether you pay yourself salary, director's fees or dividends. With a sole proprietorship you cannot withdraw director's fees and the entire net profit is reportable by you for that year. Sole proprietorships do not contribute to CPF but the owner has to pay into the medisave account if you are a Singaporean or PR and your net profit is more than $6,000 for the year. While it's not compulsory to contribute to CPF, you can make voluntary contributions up to certain limits. For just about the entire skinny on sole proprietorships/self-employed taxpayers the following PDF files should sort you out (I don't know your race so am including links for files in several languages).

English Starter Guide for the Self-Employed

If you need it in another language (Chinese, Tamil or Malay) the links page from IRAS is at:

http://iras.gov.sg/irasHome/page.aspx?id=1656

sms

[maydayof83]

Hi, sms

thank a lot for ur good information. i m still a bit blur but u gave a great source. i'll read it carefully.

mayday