New Reporting of Related Party Transactions to take Effect from YA2018

18 September 2017

With effect from Year of Assessment 2018, IRAS will be introducing a new Related Party Transactions (RPT) reporting requirement for companies. A new form (“RPT Form”) must be completed by companies if the value of RPT is in excess of S$15 million for the relevant Year of Assessment and submitted together with the Form C.

How do I determine if the value of RPT exceeds $15 million?

The value of RPT (as reported in the audited accounts) is the aggregate of the following:

1. All amounts of RPT as disclosed in the Income Statement, excluding compensation remunerated to key management personnel and dividends; and

2. Year-end balances of loans and non-trade amounts owing to/from all related parties.

What should be reported in the RPT Form?

The values of these categories of RPT are to be reported:

  • Sales and purchases of goods
  • Services income and expenses
  • Royalty and licence fee income and expense
  • Interest income and expense
  • Other income and expense
  • Year-end balances of loans and non-trade amounts

For further information, please refer to IRAS’ website.

Source: Inland Revenue Authority of Singapore