Crypto Accounting Services in Singapore: A Guide to Compliance and Growth
- Roger Pay
- 2 hours ago
- 6 min read
Singapore Crypto Accounting Compliance Guide
Crypto Accounting Services in Singapore: A Guide to Compliance and Growth
Singapore has firmly established itself as a global hub for digital assets. However, with the Inland Revenue Authority of Singapore (IRAS) and the Monetary Authority of Singapore (MAS) tightening regulations, specialized crypto accounting is no longer optional—it is a business necessity.
Whether you are a Web3 startup, an institutional fund, or a high-frequency trader, managing your books in the volatile world of DeFi and NFTs requires more than just a standard spreadsheet.
Why Standard Accounting Isn’t Enough for Crypto
Traditional accounting software often fails to capture the complexity of blockchain transactions. Crypto accounting requires specialized expertise to handle:
High Transaction Volume: Automated syncing of thousands of on-chain transactions across multiple wallets and exchanges.
Price Volatility: Accurately calculating the Fair Market Value (FMV) in SGD at the exact time of each transaction.
DeFi Complexity: Tracking liquidity provisioning, yield farming, staking rewards, and gas fees.
Audit Trails: Maintaining "Proof of Reserve" and transparent records that satisfy Singaporean regulatory standards.
Key Crypto Tax Implications in Singapore
Singapore is known for its "crypto-friendly" stance, but "friendly" does not mean "unregulated."
Feature | Tax Treatment in Singapore |
|---|---|
Capital Gains | Generally not taxed in Singapore if the assets are held for long-term investment. |
Trading Income | Subject to Corporate Income Tax (17%) if crypto activities are deemed a "trade" or business. |
Payment for Goods/Services | Treated as a barter trade; the value of the crypto must be recorded as revenue. |
Airdrops & Hard Forks | Generally not taxable if received without performing a service, but exceptions apply for businesses. |
Our Specialized Crypto Accounting Services
1. Crypto Bookkeeping & Reconciliation
We integrate tools like BitWave, Cryptio, or Koinly with your existing ERP (Xero/QuickBooks). We ensure every transfer, trade, and fee is categorized correctly to prevent year-end headaches.
2. MAS Regulatory Compliance
For Payment Service Provider (PSP) license holders, we assist with the rigorous financial reporting required under the Payment Services Act. This includes maintaining the necessary base capital and safeguarding client assets.
3. Corporate Tax Filing
We optimize your tax position by distinguishing between capital investments and revenue-generating activities, ensuring you don't pay more tax than necessary under IRAS guidelines.
4. Audit Support
We provide "audit-ready" reports. Our team works with auditors to bridge the gap between blockchain data and traditional financial statements, ensuring your crypto balances are verifiable.
The Advantage of Local Expertise
Choosing a Singapore-based crypto accountant means you benefit from professionals who understand the local Fintrack environment and the specific nuances of the Variable Capital Company (VCC) structure—a popular choice for crypto fund managers.
Pro Tip: Don't wait until the end of the financial year. The "cost of reconstruction" for lost crypto data is significantly higher than the cost of ongoing monthly maintenance.
Ready to Streamline Your Crypto Finances?
Don't let manual data entry and regulatory uncertainty slow down your Web3 innovation. Let us handle the complexity of the ledger so you can focus on the blockchain.
Checklist of documents you’ll need to prepare for your first Crypto Tax Filing in Singapore
To help you prepare for the upcoming tax season, here is a comprehensive checklist for crypto accounting in Singapore. This list is designed to meet IRAS standards for the 2026 Year of Assessment (covering the 2025 financial year).
The Crypto Tax Filing Checklist
1. Transactional & Wallet Data
IRAS requires a clear audit trail for every movement of digital assets.
[ ] Wallet Inventory: A list of all public wallet addresses (hot and cold) owned by the business.
[ ] Exchange Statements: CSV/API exports from centralized exchanges (e.g., Independent Reserve, Coinbase, Binance) showing trade history, deposits, and withdrawals.
[ ] On-Chain Records: Transaction hashes (TXIDs) for all DEX trades, DeFi interactions, and NFT mints.
[ ] Fair Market Value (FMV) Log: Documentation of the SGD value of each asset at the exact time of the transaction.
2. Business Specific Records
If you operate as a crypto-native business (e.g., a VC fund or a Web3 startup), you need:
[ ] Cost Basis Methodology: Documentation of your chosen valuation method (typically FIFO or Weighted Average; LIFO is generally not accepted).
[ ] Expense Logs: Records of "Gas fees" (network fees) which are often tax-deductible as business expenses.
[ ] Tokenomics/Whitepaper: For token issuers, a copy of the whitepaper to help classify tokens as utility, payment, or security tokens.
[ ] Service Invoices: If you paid employees or vendors in crypto, copies of the invoices showing the SGD equivalent at the time of payment.
3. Revenue & Passive Income
[ ] Staking & Yield Records: Total rewards earned from staking or liquidity pools (taxable if they exceed $300 SGD in value for individuals, or any amount for companies).
[ ] Airdrop & Hard Fork Log: Documentation of any "free" tokens received, including their value at the time of receipt.
[ ] NFT Royalties: For creators, a record of secondary market royalties received.
Regulatory Documentation (For MAS License Holders)
If your business falls under the Payment Services Act, ensure you have:
[ ] Base Capital Proof: Bank statements showing you meet the SGD 100,000 (SPI) or SGD 250,000 (MPI) requirement.
[ ] AML/KYC Reports: Evidence of customer due diligence and any suspicious transaction reports (STRs) filed.
[ ] Safeguarding Records: Proof that customer assets are separated from company operating funds.
Important Deadlines for 2026
Estimated Chargeable Income (ECI): Must be filed within 3 months of your Financial Year End.
Corporate Tax Filing (Form C-S/C): Due by 30 November 2026.
Monthly Reconciliation Template for your internal team to use throughout 2026
The "Monthly Crypto Reconciliation Template 2026" note includes sections for data aggregation, transaction categorization, valuation, variance analysis, and compliance auditing to help your team stay organized throughout the year.
Monthly Crypto Reconciliation Template 2026 (Singapore)
Month/Year: [Month] 2026
1. Data Aggregation
• Pull CSV/API data from all Centralized Exchanges (CEX).
• Sync all hardware and software wallet addresses via block explorers.
• Verify all manual "Off-chain" transactions (OTC trades).
2. Transaction Categorization
• Income: Identify Staking rewards, Airdrops, and Service payments.
• Expenses: Label Gas fees, Exchange trading fees, and Subscriptions.
• Transfers: Match "Self-transfers" between internal wallets (not taxable).
3. Valuation & FMV
• Ensure all transactions have an SGD Fair Market Value (FMV) timestamped.
• Check for "Missing Prices" on low-cap altcoins or new LP tokens.
4. Variance Analysis
• Ending Balance Check: Does the software balance match the actual wallet/exchange balance?
• Unresolved Transactions: Investigate any "Unknown" ins/outs.
5. Compliance Audit
• (If applicable) Confirm Base Capital requirements per MAS regulations.
• Archive all invoices/receipts for crypto-denominated business expenses.
Bestar Singapore: Your Premier Partner for Crypto Accounting & Compliance
Crypto Accounting Services in Singapore: A Guide to Compliance and Growth
As Singapore accelerates its position as a global digital asset hub, the demand for specialized financial oversight has never been higher. Bestar Singapore stands at the intersection of traditional financial rigor and Web3 innovation, providing comprehensive crypto accounting services tailored for the Lion City’s regulatory landscape.
Whether you are navigating MAS (Monetary Authority of Singapore) licensing or preparing your first IRAS tax filing, Bestar offers the localized expertise needed to turn complex blockchain data into "audit-ready" financial intelligence.
Why Bestar is Singapore’s Top Choice for Crypto Firms
1. "Next-Generation" Audit & Assurance
Bestar moves beyond manual sampling. Their "Next-Generation" audit approach utilizes advanced data analytics to review 100% of on-chain transactions. This ensures absolute accuracy for:
VCC (Variable Capital Companies): Specialized structures for crypto fund managers.
Payment Service Providers: Ensuring compliance with the Payment Services Act (PSA).
Proof of Reserves: Building stakeholder trust through verifiable balance sheets.
2. Full-Spectrum Regulatory Compliance
Navigating the Inland Revenue Authority of Singapore (IRAS) guidelines requires a deep understanding of how crypto is classified—whether as a capital asset or trading stock. Bestar provides:
Tax Optimization: Identifying eligible deductions for "gas" fees and network costs.
GST Advisory: Helping businesses manage Goods and Services Tax on digital payment tokens (DPTs).
MAS Reporting: Assisting with base capital requirements and periodic regulatory returns.
3. Integrated Web3 Accounting Tech
Bestar isn't just a traditional firm; they are tech-forward advisors. They specialize in integrating top-tier crypto sub-ledgers with traditional ERPs:
Syncing: Connecting tools like Cryptio, Bitwave, or Koinly with Xero and QuickBooks.
Valuation: Automating Fair Market Value (FMV) in SGD at the time of each transaction.
Consolidation: Merging data from 130+ sources, including CEXs (Binance, Coinbase) and DeFi protocols.
At a Glance: Bestar’s Crypto Services
Service | Bestar’s Specialized Approach |
|---|---|
Tax Planning | Distinguishing between non-taxable capital gains and 17% corporate income tax. |
Audit Support | Bridging the gap between blockchain explorers and SFRS (Singapore Financial Reporting Standards). |
Company Secretarial | Handling ACRA filings for Web3 entities and DAOs with a legal presence in Singapore. |
Payroll & HR | Managing remuneration in stablecoins (USDT/USDC) while ensuring CPF and IR8A compliance. |
The Bestar Difference: Boutique Service, Global Standards
Bestar operates on a "People First" philosophy, offering 24/7 support for entrepreneurs who don't sleep. As a member of Affilica International, they combine the personalized touch of a boutique firm with the resources of a global network.
"We focus on integrating entrepreneurial skills with accounting expertise, ensuring your Web3 journey is smooth, compliant, and optimized for growth."
Ready to Scale Your Web3 Business?
Don't let the complexity of the ledger hold back your innovation. Partner with the experts who speak both "Blockchain" and "SFRS."
Comments