Filing GST F5 From Xero: A Pre-Submission Checklist

GST F5 deadlines and what happens if you are late

IRAS says your GST return and payment are due one month after the end of your accounting period, and no extension is granted. If you have nothing to report, you still file a nil return.

Late filing costs money quickly. IRAS imposes a late submission penalty of S$200 as soon as the due date passes, plus S$200 for every completed month the return stays outstanding, up to S$10,000 per return. It can also issue an estimated assessment with a 5% late payment penalty.

Check your tax rate mapping in Xero

Xero's default tax rates for Singapore include Standard-Rated Supplies and Standard-Rated Purchases at 9%, zero-rated, exempt and out-of-scope rates, plus import, reverse charge and low-value goods types. Xero says the tax type and rate on a transaction decide where it is reported on the F5. So the most useful check is on your chart of accounts, not individual invoices.

Run the GST F5 report and open the transaction detail for each box. Anything that looks out of place, such as a salary line in Box 5, usually comes from an account default.

Payment processor and platform fees

Stripe, HitPay, PayPal and Shopify deduct fees before paying out. If you record only the net payout as income, you understate sales in Box 1 and miss any claimable GST on fees. Record gross sales and the fees separately, usually through a clearing account.

Do not assume every fee carries 9% GST. Stripe says that for Singapore accounts, GST applies to certain Stripe fees, such as Connect, Terminal hardware and Radar, and it issues a monthly tax invoice for that GST. Claim input tax only on the GST shown on a valid tax invoice from each provider, and check each provider's invoice rather than applying one rate to all fees.

Our guide to connecting Shopify, Stripe and HitPay to Xero shows how to set up the clearing account so gross sales, fees and payouts all reconcile.

Overseas software, ads and reverse charge

Most small businesses pay overseas vendors for software and advertising: Google, Meta, Microsoft, Canva, Zoom. Two separate IRAS rules apply, and they are often confused.

• Overseas vendor registration (OVR): IRAS says a GST-registered business buying from a GST-registered overseas vendor should give the vendor its GST registration number so GST is not charged on business purchases. If you were charged GST by mistake, IRAS says to ask the vendor for a refund rather than claim it as input tax.
• Reverse charge: applies to GST-registered businesses that are not entitled to full input tax credit, such as those making exempt supplies or receiving non-business receipts. They must account for GST on imported services (from 1 January 2020) and low-value goods (from 1 January 2023) as if they were the supplier. A fully taxable business does not have to apply it unless it elects to.

If reverse charge applies to you, Xero has dedicated reverse charge tax types, and the values flow into Box 14 (imported services and low-value goods) as well as Boxes 5, 6 and 7. If you are not sure whether you are a reverse charge business, ask your accountant before filing.

Reconciliation checks before you finalise

Your GST return is only as good as your reconciliation. Before you finalise the return in Xero, work through these.

1. 1

   Reconcile every bank account to the period end

   Every bank feed, including foreign currency accounts, should have no unreconciled lines dated in the period. Our guide to Xero bank feeds for DBS, OCBC and UOB covers feeds that stop syncing.

2. 2

   Clear your payment clearing accounts

   Stripe, HitPay and Shopify clearing accounts should be close to zero apart from payouts in transit at the period end.

3. 3

   Check for missing bills and receipts

   Expenses paid but not yet entered as bills mean input tax you have not claimed. Expenses entered without a tax invoice may not be claimable.

4. 4

   Compare with last quarter

   Look at each F5 box against the previous return. A large swing should have a reason you can explain, such as a big equipment purchase.

5. 5

   Lock the period

   Set a lock date in Xero after finalising so nobody edits transactions inside a filed period by accident.

IRAS also needs your invoices to meet its rules. Our guide to GST tax invoice requirements lists what a valid tax invoice must show.

Filing the GST F5 to IRAS from Xero

Xero's guide to filing a GST F5 with IRAS sets out the process. You need the Advisor or Standard + reports user role, and you sign in with Singpass (Corppass for yourself, or as a tax agent).

1. Open the GST F5 Return in Reporting and select the finalised return.
2. Click File with IRAS and choose Myself or Tax agent.
3. Complete contact details and the declaration, then sign in with Singpass.
4. Pick the right UEN or Entity ID and allow Xero to connect to IRAS.
5. Click File return and wait for the status to change to Filed with IRAS.

Xero sends only the box totals, not the transactions behind them. Payment is separate: you pay IRAS outside Xero, by GIRO or another IRAS payment mode. Once filed, Xero says any adjustment must be made by filing a GST F7 in myTax Portal.

If you are choosing software for the first time, our Xero vs QuickBooks comparison covers GST features in both.

Do it yourself or get help?

If your books are reconciled monthly and your accounts have the right tax defaults, filing from Xero takes minutes. The work is in the set-up and the monthly routine, not the filing step.

If payouts, fees and bank feeds are the reason reconciliation takes days, our Xero / QuickBooks Integration (S$390, fixed price) connects Stripe, HitPay or Shopify and your bank feed so sales and fees reconcile, and leaves a short guide for your bookkeeper. We do not do bookkeeping or file tax returns; for GST treatment questions, use your accountant or a tax agent.