Thursday, March 08, 2007

Is higher GST a good idea?

Read about Larry Haverkamp's views in

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2 comments:

Anonymous said...

Larry got his facts wrong. Businesses with annual revenue ()instead of "purchases") less than $1 million need not register for GST (i.e. they should not be charging GST to their customers).

As suppliers to hawkers mostly likely have annual revenue exceeding $1 million, hawkers will bear the GST...which will be passed on to consumers.

Larry also got it wrong when he said "..the poor buy only a small fraction of the necessities that are sold".

It is not the proportion of necessities consumed by the poor is irrelevant. Larry should be looking at the proportion of a poor man's ncome spent on necessities that. The latter is the correct measure of the impact of higher GST on the poor. I suspect spendings on necessities constituted a large portion of a poor man's income.

One can only eat X number of bowls of rice regardless of one's wealth!!

March 09, 2007 10:40 AM
Anonymous said...

well said anon. Larry got it wrong and kin lian said take a look at Larry.

Boy , we now have a circus here.

March 14, 2007 8:30 PM

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