A GST-registered retailer was fined $4,000 for not displaying GST-inclusive prices at its premises and on its marketing materials.
Silver River Furniture Pte Ltd (银河家具批发中心) had been given a few warnings by the IRAS in the past, but had repeatedly failed to comply with the GST price display requirements. This case is the first of its kind in Singapore.
Under Regulation 77 of the GST General (Regulations), GST-registered businesses are required to show GST-inclusive prices on all displays, advertisements, publications and quotations to the public (exceptions apply to the hotel and food & beverage industries where they are allowed to display GST-exclusive prices for goods and services that are subject to service charge). Failure to display GST-inclusive prices to the public is an offence and carries a fine of up to $5,000.
The above requirement does not apply where the recipient of the supply is a GST-registered business. This usually refers to B2B transactions where a GST registered supplier provides a fee quotation to its customer who is also GST-registered. In this case, the amount quoted may be exclusive of GST.
If you require any assistance on the above, please do not hesitate to contact us at our GST Infoline: 6652 5509 or Ask@GSTaxConsultancy.com