The Inland Revenue Authority of Singapore (IRAS) has made updates to its Exchange Rate Search Function tool (XLSX) to assist taxpayers in preparing their tax computations for the 2024 year of assessment returns.

A tax computation is a statement showing the tax adjustments to the accounting profit to arrive at the income that is chargeable to tax. Tax adjustments include non-deductible expenses, non-taxable receipts, further deductions and capital allowances.

Your company should prepare its tax computation annually before completing its Form C-S/ Form C-S (Lite)/ Form C.

If your company is filing Form C, you must file its audited/ unaudited financial statements, tax computation and supporting schedules together with Form C. If your company is filing Form C-S/ Form C-S (Lite), you do not need to file its financial statements, tax computation and supporting schedules, but these documents should be ready for submission upon IRAS’ request.

For exchange rate data, please visit the official website of the Monetary Authority of Singapore (MAS).

For tax purposes, please note that the average rate of exchange to be used for any year of assessment (YA) is the sum of the total end-of-month rates for the relevant basis period, divided by the number of months within the basis period. For example, for a company newly incorporated in Mar 2023, with its first basis period from Mar 2023 to Dec 2023, the average rate of exchange to be used for its YA 2024 tax return should be the sum of the total end-of-month rates from Mar 2023 to Dec 2023, divided by 10.

You may use the Exchange Rate Search Function (XLS) to retrieve the average exchange rate (computed using data extracted from the MAS website) and to convert the foreign currency amount to Singapore dollars for YA 2021 onwards.