Definition of a Society
A society can be a club, partnership or association of more than 10 but less than 20 persons, formed for the purpose of carrying out a non-profit business.
Pros and Cons
- Less costly compared to a company.
- Can apply to be registered as a charitable organisation or institute of public character.
- Members are liable to be sued as the society is not a separate legal entity.
- Subject to income tax obligations in accordance with the Singapore Income Tax Act, Cap 134.
- Majority of the committee members must be Singapore citizens.
- Additionally, the President, Secretary, Treasurer and their deputies must be Singapore citizens or permanent residents.
- Must have a customised Constitution setting out the rules of the society.
- Must maintain proper accounts and records of transactions and affairs of the society for at least 5 years.
- Must submit annual return and audited financial statements annually.