In Singapore, Major Exporter Scheme (MES) is a scheme designed to ease the need for businesses to pay GST input tax on imported goods which are being re-exported. Without this scheme, the businesses have to pay GST input tax immediately on goods imported while waiting to file and claim a refund on the same GST input tax after the goods have been exported. With this scheme and upon meeting the required conditions, businesses are given the privilege of not paying the GST input tax on imported goods which would be exported and putting no strain on their cash flow.
To qualify for the MES scheme, the business must:
1. have more than S$10 million of zero-rated supplies for the past 12 months or more than 50% of the total supplies are made up of zero-rated supplies;
2. maintain good internal controls and proper accounting records;
3. maintain good compliance records with IRAS and Singapore Customs.
GST Assisted Self-Help Kit (ASK)
In order to apply for MES, businesses need to submit a completed Form GST F10 and (1) perform a self-review called Assisted Self-Help Kit (or ASK in short) and certified by an Accredited Tax Professional, OR (1) participate in Assisted Compliance Assurance Programme (ACAP), OR (3) Perform an ACAP Annual Review (AAR) and submit the AAR Declaration form for business with a valid ACAP status.
When the MES status is expiring, businesses will be invited to renew if they continue to satisfy the qualifying conditions. A Tax Advisor Pte Ltd is able to perform the ASK self-review for you either for new application or renewal purposes. Besides ASK, A Tax Advisor Pte Ltd also assists clients in ACAP application, Voluntarily Disclosure to IRAS, representing client in IRAS Tax Investigation and Audit, replying to IRAS Queries and other tax services.