Register as a Business, Need More Information

[alan1996]

From my search in Clubsnap, a freelance photographer (1 yr get less than $10,000) do not need to register as a business. Unless the photographer wants to give a Tax Invoice.

Am I right in the above information?

How about giving a Delivery Order (DO) to a company when you give than the disc (DVD or CD) of photo? The DO can be a record for having given the photos to someone in the company.

[Lmodel]

If you are dealing with private parties, then no tax invoice or delivery order is required. For all business transactions, tax invoice and delivery order is required for tax filing.

However, it is always better to register a business entity. Yearly renewal is $20.00

[alan1996]

Thanks for the advice.

[ortega]

you forgot to mention medisave requirements

[alan1996]

Originally Posted by ortega you forgot to mention medisave requirements

I think only when your income is more than $6000 per year than you need to pay medisave. I don't think my business will get me more than $6000 per year. Anyway, it is only around 3-6% of what you get. Less than next year's GST.

[Lmodel]

You are right to say that you do not have to pay medisave if your annual declared income is less than $6k.

The second statement is wrong though coz the medisave contribution is 20% of your declared income, similar to a salaried worker.

[Cheesecake]

apologies to the TS, i would like to ask some questions...

what abt tax payment?
is there some website that helps ppl who want to start their own business with FAQ?

[Lmodel]

Perhaps you can refer to ACRA Website to find out more about Business Entities and IRA Website to find out more about tax matters.

The best method is to actually call their hotline to enquire more. There are companies that can help you to register, renew or advise you on such matters but there charged you for some fees.

If you are referring to income tax, you will still be eligible say if your total earnings exceed ($30k) and depending on grants and rebates. My total earnings hereby refer to your gross annual income (irregardless of sole propreitorship, salaried worker and adds together). $30k is a pretty safe figure to put it. There is a tax formula which structured the percentage to be paid based on your gross annual income.

Hope it helps.

[Cheesecake]

Originally Posted by Lmodel Perhaps you can refer to ACRA Website to find out more about Business Entities and IRA Website to find out more about tax matters. The best method is to actually call their hotline to enquire more. There are companies that can help you to register, renew or advise you on such matters but there charged you for some fees. If you are referring to income tax, you will still be eligible say if your total earnings exceed ($30k) and depending on grants and rebates. My total earnings hereby refer to your gross annual income (irregardless of sole propreitorship, salaried worker and adds together). $30k is a pretty safe figure to put it. There is a tax formula which structured the percentage to be paid based on your gross annual income. Hope it helps.

thanks!

the webby for the ira is wrong.

here's the right one...
http://www.iras.gov.sg/ESVPortal/Home/index.asp

[Lmodel]

Most welcome!

ooOpss miss out an alphabet. Amended.

Cheers

[canturn]

Biz registration gives your client more confidence that you're not some fly by night business. Corret me if I'm wrong, all invoices need to have a biz reg no.

[eugeneceh]

Originally Posted by Lmodel You are right to say that you do not have to pay medisave if your annual declared income is less than $6k. The second statement is wrong though coz the medisave contribution is 20% of your declared income, similar to a salaried worker.

Medisave payable is calculated based on 6 - 8% of your net trade income for the year 2006. This is subject to revision although it has not changed in a long time.

[Lmodel]

Originally Posted by eugeneceh Medisave payable is calculated based on 6 - 8% of your net trade income for the year 2006. This is subject to revision although it has not changed in a long time.

My mistake!!!

What was I thinking then... Why was I thinking of the CPF contribution for Ordinary a/c. Thanks for correcting!

[eugeneceh]

Originally Posted by Lmodel My mistake!!! What was I thinking then... Why was I thinking of the CPF contribution for Ordinary a/c. Thanks for correcting!

No problem.