GST up to 7%?!?!?!

Source: Channel NewsAsia

GST to be raised to 7%: PM Lee

By Lee Foong Ming, Channel NewsAsia | Posted: 13 November 2006 1832 hrs

SINGAPORE: The Goods and Services Tax will be increased to 7 percent, up from 5 percent presently - this was announced by Prime Minister Lee Hsien Loong in Parliament on Monday.

Mr Lee said more details will be given in next year's Budget Speech which has been scheduled for 15 February.

The Prime Minister made the announcement when responding to the issues raised by MPs over 4 days of debate - among them the widening income gap in Singapore as a result of globalisation.

Stressing that globalisation is here to stay, and Singaporeans will have to deal with its impact, Mr Lee said this is something that could strain the country's social compact, and this is why it is essential that there will be a whole set of measures to tilt playing field in favour of lower income group.

Adding that the GST increase will help finance enhanced social safety nets to help this group, Mr Lee said it was better to raise the GST when the economy is doing well. - CNA /dt

More: Zaobao.com

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So let's see, after the WTO and IMF hoo-ha, with some news of the upcoming IR on the papers, we've a new stunt pulled out!

Have we forgotten how long (or short) ago it was that bus fares just rose, citing increased oil prices and other reasons? Or are we Singaporeans running on RAM which is so dynamic, that we forget the past to only remember the present?

And GST has to increase to 7%. So the last time that the government removed 1 cents to facilitate the 5% GST, so will they round up all the costs from now on? How much more will it be costing us to have a simple meal, when the prata shop just downstairs charges GST for SERVING you?! What has the world (or specifically, Singapore) become?!?!

And whilst we think for ourselves...how about those who are not that financially able? Wont this be even more taxing to them, considering that the job market is still on the upturn, but seemingly our pay doesnt increase as fast as that of cost of living...

So buy more, before the GST 7% hits our shores after D-Day February 14? Maybe...

Till then, it's back to mugging. Got booted out of school super early cos they needed to close the 6th level for cleaning. Geez.

P.S. At least certain things will remain GST-free, like our trips. HAHAHA.