The Goods and Services Tax (GST) is “paid by everyone who is in Singapore, whether they are here as tourists, they are here as workers, as expatriates”, said Deputy Prime Minister Heng Swee Keat at the Singapore Perspective Conference 2020 by the Institute of Policy Studies’ (IPS) on Monday (20 Jan).

He was responding to a question by Singapore Democratic Party (SDP) chairman Dr Paul Tambyah who asked whether the government has considered alternatives to raising the GST-which he described as a regressive tax-for the purposes of raising revenue such as returning the corporate tax level to 20% or bringing back tax for unearned income like the estate duty.

Mr Heng answered by first refuting Dr Tambyah’s statement that GST is regressive, noting the tax system should be considered as a whole with GST being weighed against other taxes and spending.

He added that the government has designed its policies to ensure that the tax system and schemes benefit lower income groups and those who need help the most.

Mr Heng then went on to address GST specifically, saying, “And there’s another aspect which Mr Paul Tambyah may want to remember that GST is not just paid by Singaporeans. It is paid by everyone who is in Singapore, whether they are here as tourists, they are here as workers, as expatriates. It’s paid by everyone in Singapore when they consume services and buy certain goods.”

GST in Singapore

Following media reports on Mr Heng’s response, an image has been circulating on WhatsApp and social media highlighting the DPM’s comment that even visitors pay GST but they’re allowed to also get a GST refund before they leave the country.

So technically, visitors don’t pay GST.

According to Singapore Customs, the Tourist Refund Scheme (TRS) allows tourists to claim a refund of the GST they’ve paid on goods from participating retailers if the items are being brought out of Singapore via Changi or Selatar airports.

This is a common practice, actually, with many other countries also having a system in place to allow tourists to claim a refund of taxes on goods. In the UK, tourists are also allowed to claim refunds on their version of the GST, the Value Added Tax (VAT) on both goods and services.

In Singapore, refunds are not allowed on services, goods consumed in Singapore or purchased by businesses or for commercial purposes, for goods exported by freight or accommodation.

Subscribe
Notify of
0 Comments
Inline Feedbacks
View all comments
You May Also Like

NMP voiced concerns over weaker mandate with a lower voter turnout; Chan Chun Sing refutes, saying that the COVID-19 Election Bill "allows more voters to vote"

It is uncertain that the current form of Parliamentary Elections (COVID-19 Special…

遭切换车道轿车撞倒 送餐员电单车失控路上翻滚

电单车送餐员被切换车道的轿车撞倒,在马路上失控倒地翻滚,甚至险些被后来的车子撞上,令人看得胆战心惊,但是肇事车子当时就扬长而去,事后才到警局自首。 有关意外于本月2日晚上约8时25分,在实里达高速公路上演。 据网民上载到脸书群组All Singapore Stuff 的汽车驾驶记录画面显示,电单车送餐员和一辆轿车先后切换车道。送餐员先是自右边车道转入中间车道,轿车当时也开始从左边车道转入中间车道,似乎没有注意到送餐员,因此就发生了碰撞。 送餐员差点被车碾 送餐员被撞后电单车失控倒下,人和车上物件也在马路上翻滚数圈后才停下,可见当时的冲击多大。所幸后来的车子及时停车,送餐员才没有二度被撞上。而肇祸轿车则扬长而去。 帖文中询问道,“为何现在还有如此多的撞后逃意外事件发生,难道在2020年的今天,肇祸人士真的认为自己能够逃得掉吗?” 帖文随后跟新指出,肇祸司机在事发后,亲自到警察局自首了。 肇祸司机较后自首 帖文在不到一天之内就吸引了超过1万4000人观看,还有218个网民做出类似伤心、愤怒的反应。…

13名男子送殡时高喊私会党口号 今日面控

13名男子涉嫌在送殡时违反安全距离措施,并公然喊私会党的口号,今日将被控上庭。 据警方的文告指出,被告年龄介于16岁至35岁,均为为私会党成员。他们于今年4月5日在循环路一带送殡时高喊私会党口号,借此炫耀与私会党有关。 经警方进一步调查发现,其中四名年龄介于19岁至35岁的男子还涉嫌招募新党员。 他们涉嫌违反《社团法令》(Societies Act),以及《传染病条例2020》。 另一方面,被告13人违反了安全距离措施,而负责租用场地设灵堂的26岁被告则因允许逾10人同聚,违反《传染病条例》2020。 参与私会党与教唆他人加入私会党,其最高刑罚为监禁长达三年、罚款高达5000元,或两者兼施。 而违反传染病条例2020的最高刑罚则是将监禁长达六个月、罚款高达一万元,或两者兼施。 警方强调对于私会党活动秉持零容忍态度,并将毫不犹豫地对参与私会党并罔顾法律的人采取行动。

Malaysian Grab driver travels over 200km to return wallet left behind by Singaporean passenger

A Singaporean man’s faith in humanity has been preserved after a Malaysian…