The Inland Revenue Authority of Singapore (IRAS) has announced the commencement of the Enterprise Innovation Scheme (EIS) Cash Payout application window for Year of Assessment (YA) 2025, with specific timelines for sole proprietorships and partnerships.
Application Commencement Dates:
- Partnerships: Applications opened via the dedicated “Apply for EIS Cash Payout” digital service on 1 February 2025.
- Sole Proprietors/Self-Employed Persons: Applications will commence on 1 March 2025.
Critical Application Deadline:
All applications for the YA 2025 EIS cash payout must be submitted electronically through the “Apply for EIS Cash Payout” service no later than 18 April 2025.
Mandatory Pre-requisite:
Businesses must first e-File their Income Tax Returns for YA 2025 before applying for the EIS cash payout. The cash payout application service will only become accessible after the tax return is successfully submitted.
Important Note for Paper Filers:
Sole proprietors and partners filing paper Income Tax Returns are advised to file significantly early. IRAS highlights that it can take up to 7 working days for paper filing statuses to be updated in their systems. Access to the “Apply for EIS Cash Payout” digital service is contingent upon this status update, potentially causing delays for late paper filers aiming for the April 18th deadline.
Key Application Constraints:
- The digital service is strictly limited to one application per business entity per YA (2025).
Record-Keeping Mandate:
Businesses claiming the EIS cash payout are legally required to retain all supporting records and documentation related to the expenditure underpinning their claim. These records must be kept for 7 years, calculated from the YA corresponding to the basis period in which the expenditure was incurred.
Action Required:
Eligible sole proprietors and partnerships should ensure timely filing of their YA 2025 Income Tax Returns and prepare to utilize the dedicated IRAS digital service within the stipulated windows to meet the 18 April 2025 deadline for EIS cash payout applications.
Source: IRAS, 11 February 2025.