Singapore Ministry of Finance is a service of the Government of Singapore capable for designing regulatory approaches and maintaining worldwide standards and best practices in zones. For example: organization law, accounting standards and corporate governance principles, to establish Singapore as an international business and financial centre. It is headed by the Minister for Finance.
The authority’s fundamental regulatory statutes are Accountants Act, Accounting Standards Partnerships Act, Business Registration Act, Companies Act, Limited Partnerships Act and the Limited Liability Partnerships Act. Guidelines and rules are regularly surveyed to ensure they persist relevant to the business and financial condition and are done in close consultation with industry specialists and key stakeholders. The MOF task inside the government is to make sure that businesses managing inside Singapore’s dominion are well-matched with international standards and practices, in areas such as organization law, accounting models and corporate governance standards. Every year, the Singapore Ministry of Finance prepares the Singapore Budget and the Minister for Finance presents the Budget to the Parliament before the new financial year begins. The Budget includes the revised Government income and consumption projections for the current financial year as well as the arranged government income and uses for the following financial year.
Following the conveyance of the Budget Statement in Parliament, Members of Parliament will debate on the statement and the proposed budget for the following monetary year. After the debate, the Parliament passes the Supply Bill and the President’s assent will then be sought to allow the Bill to come into effect. Once the President gives its consent to the Supply Bill, it is then approve as law known as the Supply Act. The Supply Act controls the Government’s spending in the following financial year.
Financial Reporting in Singapore
The Companies Act requires that an audited set of financial statements, made up to not more than six months before every Annual General Meeting, is to be presented to the shareholders at the meeting. Generally if a company incorporated in Singapore has one or more subsidiaries, it must prepare consolidated financial statements unless it meets certain standard as provided for in FRS 27 Consolidated and Separate Financial Statements. Currently, financial articulations under the Companies Act comprise of the balance sheet, income statement together with explanatory notes.
The financial statements must be accompanied by the chiefs’ and auditors’ reports and by a statement from the directors announcing that the financial statements show a true and fair view and that it is reasonable to believe that the company can sensibly pay its debts as they become due.
Organizations which meet specific provisions in the Companies Act may be exempt from having their accounts audited however, they must get ready financial explanations that comply with the Companies Act.