For those not familiar with the GST Assistance Scheme (GSTAS), it was a Singapore government grant set up by Spring Singapore, catering to the needs of Singapore-based businesses which have opted for voluntary GST registration with IRAS (Inland Revenue Authority of Singapore) and wish to set up or improve their accounting system and processes to be GST-compliant. It was a two-year assistance scheme and it had expired since June 30th, 2009.

As for Accounting Software Assistance Scheme (ASAS), it was started since July 1st, 2009 and expected to expire by March 31st, 2012. This scheme is to encourage businesses to implement accounting software and it is done by helping to defray the cost of purchasing and setting up of the accounting software, as well as training on the use of the software.

Although the ASAS seems to be a direct continuation of the GST Assistance Scheme, especially since it started immediately on the next day of the expiry of the later, both the schemes have their differences and we hope we can shed some light to them, especially since we have many businesses asking us about the differences and their similarity and whether they can apply for the Accounting Software Assistance Scheme after their successful application for the GST Assistance Scheme.

Let’s talk about their similarity first;

• both schemes are part of the Singapore government grant with the intention of helping small businesses
• both schemes are valid for sole proprietor, partnership and private limited companies
• both schemes require the businesses to be GST-registered
• both schemes are for helping to defray cost of purchasing accounting software
• both schemes allow businesses to apply either on their own or preferably through a third-party consultant

As for the differences between GSTAS and ASAS, they are;

• GSTAS was set up by Spring Singapore whilst ASAS was setup by the partnership of IRAS and iDA.
• you can only apply for the GSTAS when you are a freshly-registered GST merchant (within 3 months of application to be GST-registered), while for ASAS, as long as you are a GST-registered merchant, you can apply for this assistance scheme.
• The SME MUST be a voluntary GST registrant and is applying for GST registration for the first time if you are applying for GSTAS, but for ASAS, it is available for those voluntary GST registrant or compulsory registrant.
• GSTAS can be used to purchase for new accounting software or upgrade current accounting software while ASAS can ONLY be used for first-time accounting software user or those who used spreadsheet software for their accounting functions. If you are currently using or have used any accounting software for your GST reports to IRAS, no matter how new or old your software is, you are NOT ELIGIBLE to apply for ASAS.
• GSTAS supports up to 100% of the accounting software cost and 50% of the qualifying costs for the following cost items, subject to a maximum grant of $5,000 per company:
  • Professional fees and training costs charged by third party IT consultants;
  • Hardware costs; and
  • Subscription fees and one time activation charges for a new internet connection
• As for the ASAS, it is only for the cost of the accounting software and for the software deployment and training costs, subject to a maximum grant of S$1,500 per business. As the subsidy for ASAS is very minimal and restrictive, you are therefore adviced to approach our independent consultant to apply for the grant in order to reach its maximum cap.
• For GSTAS, you can use the grant to purchase any accounting software you see fit, but for ASAS, you can only purchase those accounting software that are listed in the IRAS Accounting Software Register.

As you can see from the similarity and differences between the GSTAS and ASAS, both schemes actually caters for different groups of businesses and not just a continuation of one scheme to another.

Just a final note, if you have previously applied successfully for the GST Assistance Scheme (GSTAS), you are not allowed to apply for the Accounting Software Assistance Scheme (ASAS) because one of its criteria is you must never use any accounting software before.

Related posts:

1. Subsidy For Accounting Software
2. Additional S$2 Million For The Business For Families Grant
3. Seminars For Newly GST-Registered Businesses

Singapore affirms its leadership in the global marketplace through its well-developed infocomm eco-system. Leading infocomm players continue to leverage on Singapore’s vibrant infocomm environment to innovate, develop and invest in cutting-edge products and services. For Singapore to capitalise on business and economic opportunities, early adoption of emerging infocomm technologies is essential.

Infocomm Technology Roadmap

To ensure Singapore’s continued leadership in infocomm, IDA identifies strategic infocomm technologies, and works with the relevant players in industry and government in areas such as policy, regulation, manpower development, technology pilots, and trend mapping. IDA’s Infocomm Technology Roadmap charts the national infocomm blueprint for the future, identifying significant trends in the infocomm landscape, and communicates them to the infocomm industry. The fifth and latest roadmap expects the next 10 years to witness the confluence of innovations that brings new levels of ease and convenience for end-users, and the emergence of a new eco-system of hardware, software, and systems-level players that exploit sentient spaces.

Future Opportunities For Infocomm

The foreseeable future will see tremendous opportunities for the infocomm industry. More multi-disciplinary research around infocomm will become the key focus of R&D. IDA will continue to develop industry-relevant programmes that bridge R&D labs and industry, to help Singapore keep abreast of future directions and trends, and in identifying business opportunities and competitive advantage.

Related posts:

1. Subsidy For Accounting Software

“ASAS provides support for SMEs to acquire their first accounting software to improve their financial and bookkeeping practices,” said Mr Sam Tan, Parliamentary Secretary for Trade and Industry, and Information, Communications and the Arts, who announced the scheme at the Infocomm Commerce Conference (ICC) on 20 August 2009.

To qualify for the scheme, each SME must have at least 30 per cent local shareholders, have less than S$15 million worth of fixed assets, employ fewer than 200 staff, is GST-registered, and is currently not using any accounting software. ASAS is available until 31 March 2012.

For in depth news report, please visit IDA website.

Related posts:

1. Role Of IDA In Singapore Infocomm Eco-System
2. Additional S$2 Million For The Business For Families Grant
3. Is ASAS A Continuation of GST Assistance Scheme?