Singapore continues to attract founders and international businesses because it combines a predictable legal system with a strong regulatory culture and clear operating rules. Business formation remains robust: 78,146 business entities were formed in 2025, reflecting sustained confidence in Singapore as a base for operations and regional expansion. At the same time, regulators regularly refine requirements, publish new guidance, and adjust frameworks in specific areas to address new circumstances, so staying current is part of running a Singapore company responsibly.
In this January 2026 Regulatory Update, we summarise the most relevant developments across corporate compliance, tax and accounting, immigration rules for foreign hires, and other practical topics linked to operating a company in Singapore. This roundup is designed for foreign entrepreneurs and business owners and highlights updates that may influence day-to-day operations, compliance planning, and near-term growth decisions.
Company Law
Corporate distress: Ministry of Law launched SIP 2.0
The Ministry of Law announced the revamped Simplified Insolvency Programme (SIP 2.0) commencing 29 January 2026. SIP 2.0 is a streamlined, lower-cost insolvency framework under Singapore’s insolvency regime for micro and small companies in financial difficulty. It provides simplified, mainly out-of-court routes either to restructure debts (Simplified Debt Restructuring Programme) where the business remains viable, or to wind up in an orderly manner (Simplified Winding Up Programme) where it does not.
Source: https://www.mlaw.gov.sg/launch-of-revamped-sip/
ACRA strengthened partnership with the CSP sector via a new Advisory Panel
ACRA set up a Corporate Service Providers Advisory Panel, an industry consultation group that brings together selected Corporate Service Providers and sector stakeholders to provide feedback and practical input on how ACRA regulates and supports the CSP ecosystem. The 11-member panel is intended to strengthen partnership with the CSP community and focus over the next three years on regulatory compliance, professional competency, and technology developments. For CSPs, and for companies that outsource incorporation and compliance work to CSPs, this signals closer regulator-industry coordination and a continued emphasis on standards, but it is not a statutory amendment on its own.
ACRA enforcement reminder: false declarations and consent failures can trigger fines and director disqualification
ACRA highlighted enforcement action where three individuals were convicted and fined a total of S$105,500, and were disqualified from acting as company directors for five years, for Companies Act offences involving false declarations (submitting untrue or misleading information in statutory filings) and missing consent documentation (making or recording appointments without proper written consent or supporting records). ACRA also reiterated that false declarations can attract a fine of up to S$50,000 or imprisonment of up to two years, or both, underscoring that Singapore companies are expected to treat filings and statutory records as core governance requirements, not paperwork.
Tax and Accounting Law
IRAS updated guidance on MTT and DTT (Singapore’s Pillar Two top-up taxes)
Inland Revenue Authority of Singapore (IRAS) published an updated guide on MTT (Multinational Enterprise Top-up Tax) and DTT (Domestic Top-up Tax). These rules implement the 15% global minimum tax framework for large multinational groups (generally groups with EUR 750 million or more in consolidated revenue). Where an in-scope group’s effective tax rate in a jurisdiction falls below 15%, a top-up tax may apply. The guide explains how the Singapore top-up taxes work, who is in scope, and the key filing and reporting obligations.
Source: https://www.iras.gov.sg/media/docs/default-source/e-tax/e-tax-guide-mtt-and-dtt.pdf
IRAS updated its guide on employee share options and share ownership plans (ESOP and ESOW)
IRAS issued an updated e-Tax Guide explaining the income tax treatment of employee equity incentives, including Employee Share Options (ESOP) and Employee Share Ownership (ESOW) plans. For companies, the main relevance is ensuring the correct tax treatment of equity-related benefits and keeping employer reporting aligned with IRAS guidance, which is commonly important for startups and SMEs that use equity incentives to attract and retain staff.
Source: https://www.iras.gov.sg/media/docs/default-source/e-tax/etaxguides_iit_esop_2026-01-30.pdf
IRAS refreshed GST ACAP guidance and introduced a new FormSG declaration from 1 February 2026
IRAS updated its GST Assisted Compliance Assurance Programme (ACAP) guidance, including a new requirement effective 1 February 2026: approved ACAP businesses must submit a Declaration on Completion of Post ACAP Review via FormSG after completing their post-review work. The update reinforces documented GST control frameworks and audit trails as a compliance expectation for participating businesses.
ACRA published the 2026 accounting standards collections (effective for annual periods beginning 1 January 2026)
ACRA published the 2026 volumes of SFRS(I) and FRS, stated as required to be applied for annual reporting periods beginning on 1 January 2026 (covering pronouncements issued up to 31 December 2025). SFRS(I) means Singapore Financial Reporting Standards (International), which are Singapore’s IFRS-aligned standards mainly used by publicly accountable companies (for example, listed entities and financial institutions), while FRS are Singapore’s local financial reporting standards used by many other companies. Publishing the 2026 volumes sets the updated “baseline” set of accounting rules companies should apply when preparing FY2026 financial statements.
Immigration Law
Employment Pass salary threshold for renewals applied from 1 January 2026
From 1 January 2026, Employment Pass renewals had to meet the updated qualifying salary benchmarks. The published baseline is S$5,600 for most sectors and S$6,200 for financial services (with higher, age-progressive benchmarks for older candidates). This matters for employers budgeting renewals and for candidates renewing in 2026, because renewal eligibility is assessed against the updated salary table, not the previous thresholds.
Source: https://www.mom.gov.sg/passes-and-permits/employment-pass/eligibility
COMPASS updates from 1 January 2026 for new and renewal Employment Pass applications
MOM applied updated COMPASS reference lists from 1 January 2026 for both new and renewal Employment Pass applications. This included an updated Shortage Occupation List (SOL) under C5 Skills Bonus, which can award bonus points if the role and job duties match the SOL requirements, supported by MOM’s SOL Employer Guide. MOM also released updated C2 Qualifications reference lists, covering the top-tier institutions list (20 points) and the recognised degree-equivalent professional qualifications list (10 points). These updates affect how easily an EP candidate can meet the COMPASS points requirement, even where the role and salary stay the same.
Sources: https://www.mom.gov.sg/passes-and-permits/employment-pass/eligibility/compass-c5-skills-bonus-shortage-occupation-list-sol
Source: https://www.mom.gov.sg/-/media/mom/documents/work-passes-and-permits/compass/compass-c2-list-of-top-tier-institutions.pdf
Source: https://www.mom.gov.sg/-/media/mom/documents/work-passes-and-permits/compass/compass-c2-list-of-degree-equivalent-qualifications.pdf
Source: https://www.mom.gov.sg/-/media/mom/documents/work-passes-and-permits/compass/sol-guidebook-upcoming.pdf
Licensing and Regulatory Compliance
GoBusiness Licensing notice: plan ahead due to LicenceOne system maintenance, processing resumes after 16 February 2026 (8pm)
GoBusiness Licensing is Singapore’s one-stop portal where businesses can apply for and manage licences across government agencies (apply, pay fees, renew, amend, terminate). In January 2026, the portal displayed a notice that applications could still be submitted, but businesses should plan ahead for time-sensitive submissions because processing would resume after 16 February 2026 (8pm) due to scheduled system maintenance (LicenceOne).
Source: https://licensing.gobusiness.gov.sg/faq/applying-for-licences
Government Grants, Incentives, Support Schemes
Enterprise Singapore updated SkillsFuture Enterprise Credit (SFEC) guidance and confirmed an extension until a redesign in 2H 2026
SkillsFuture Enterprise Credit (SFEC) is a one-off S$10,000 credit given to eligible employers to support enterprise transformation and workforce transformation. It can offset up to 90% of out-of-pocket costs for eligible programmes, on top of existing scheme support, and employers generally do not apply because eligible companies are notified and the credit is reflected in the relevant portals. In the latest guidance, EnterpriseSG also confirmed that the current SFEC, which was originally set to expire in June 2025, has been extended until the redesigned SFEC is ready in the second half of 2026, giving employers more time to use remaining credits and plan transformation activities ahead of the revamp.
Source: https://www.enterprisesg.gov.sg/financial-support/skillsfuture-enterprise-credit
Funding and Startup Ecosystem
Enterprise Singapore Annual Media Briefing 2026: priorities for 2026 and support outcomes for 2025
Enterprise Singapore is a Singapore government agency that supports local enterprises through grants, capability programmes, internationalisation support, and partnerships. At its Annual Media Briefing on 28 January 2026, it shared headline outcomes from 2025 support and set out priorities for 2026, including helping firms diversify markets, build cost competitiveness, and pursue new growth opportunities amid global uncertainty.
Source: https://www.enterprisesg.gov.sg/about-us/annual-media-briefing-2026
Microsoft, NUS Enterprise and BLOCK71: AI Accelerate sprint began in January 2026, linked to the Startup SG Tech pathway
Microsoft, NUS Enterprise and BLOCK71 began delivering the 10-week AI Accelerate sprint in January 2026 as part of their collaboration announced in late 2025. NUS Enterprise is the entrepreneurship and innovation arm of the National University of Singapore, and BLOCK71 is its startup ecosystem platform that runs programmes and connects founders with mentors, investors and partners. The programme also provides a streamlined route for eligible participants to access funding via Startup SG Tech, a government grant that supports development and commercialisation of innovative technology.
BLOCK71 opened applications for Asia Green Energy Innovation Challenge 2026
BLOCK71 opened applications on 19 January 2026 for the Asia Green Energy Innovation Challenge 2026. This is a structured challenge programme for energy and sustainability-related startups, with a published timeline that includes an in-person China immersion segment in Beijing (22 to 26 June 2026) followed by a Demo Day.
Source: https://block71.co/programmes/asia-green-energy-innovation-challenge-2026/
Tech and Digital Law
PDPC enforcement decisions reinforce that strong data protection is now a baseline business requirement
The Personal Data Protection Commission (PDPC) issued new Commission Decisions and an Undertaking on 8 January 2026, highlighting enforcement outcomes for organisations that failed to meet their obligations under Singapore’s data protection framework. The practical message for companies is that data protection is not a “nice to have”. It is a core compliance area that affects legal exposure, customer trust, and commercial credibility, especially for businesses handling personal data at scale or using vendors to store and process data.
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