Under new guidelines issued by the Central Provident Funds Board (CPFB), organisations will not be allowed to submit CPF manually through cheque and payment advice(s) with effect from 01 January 2020.
Employers are encourage to submit their CPF payments electronically such as through CPF E-Submissions, AXS Machines, third party softwares such as Crimson Logic etc.
Employers will be required to complete a Direct Debit Authorisation (DDA) to link their company’s bank account for CPF monthly deductions in order to submit CPF electronically except for AXS machine payments.
Organisations that fail to abide the new guidelines by CPFB from 1 January 2021, hardcopy CPF submissions would not be processed and any payment made together with the submission will be refunded to you within 30 days.
Failure to re-submit your CPF contributions (for the contribution month) by the 14th of the following month (or the next working day if the 14th falls on a Saturday, Sunday or Public Holiday), enforcement actions may be taken.
This includes imposing late payment interest of 1.5% per month starting from the first day of the following month.
For any further information, please feel free to contact us if you have any question.