Estimated Chargeable Income (ECI) is your company's first estimate of taxable profit for the year. IRAS uses it to raise an early tax bill, long before the Form C-S or Form C arrives.
The deadline
ECI is due within three months of your financial year-end. A company with a 31 December year-end files by 31 March.
Who does not need to file
A company does not need to file ECI if its revenue for the year is S$5 million or less and its ECI is nil.
How to estimate it
- Start from profit before tax in your draft accounts.
- Add back non-deductible expenses, such as private car costs, fines and depreciation.
- Deduct capital allowances and non-taxable income.
- The result is chargeable income before exemptions. IRAS applies the partial or start-up exemption.
Why filing early pays
Companies paying by GIRO get interest-free instalments, and the number depends on how soon after year-end they file:
| Filed within | Instalments |
|---|---|
| 1 month of year-end | Up to 10 |
| 2 months | Up to 8 |
| 3 months | Up to 6 |
Filing in the first month spreads the tax over almost a year at no cost.
If your estimate turns out wrong
You can revise ECI before the Form C-S or Form C is filed. If ECI is not filed on time, IRAS may issue an estimated assessment, which you then have to object to.
Check your deadline and estimated tax with our free ECI calculator.
