Governments in many countries like GST because the cost of collection is low for the government. They do not care that the burden and cost of collecting this tax is being borne by the business sector and ultimately is paid by the ordinary people.
The cost of collecting GST adds to the burden that is already being suffered by the people at large.
Furthermore, GST is a regressive tax and hurts the low income people much more than the higher income people.
It is extremely foolish for the governments to think in this short sighted way. They should look at the overall cost borne by all parties, rather than the cost to the government.
The govenrment should also be aware and take into account that GST adds to the cost of doing business and make a country uncompetitive in the international market.
It will be wise for a government to avoid GST, if they can raise the revenue from other sources.
The Singapore government already raises revenue from land sale, sale of property, sale of cars and from foreign workers levy. They can afford to abolish GST and reduce the burden for the people.
It is extremely foolish of the PAP government to continue to impose the GST burden on the people.
Do you agree?
The cost of collecting GST adds to the burden that is already being suffered by the people at large.
Furthermore, GST is a regressive tax and hurts the low income people much more than the higher income people.
It is extremely foolish for the governments to think in this short sighted way. They should look at the overall cost borne by all parties, rather than the cost to the government.
The govenrment should also be aware and take into account that GST adds to the cost of doing business and make a country uncompetitive in the international market.
It will be wise for a government to avoid GST, if they can raise the revenue from other sources.
The Singapore government already raises revenue from land sale, sale of property, sale of cars and from foreign workers levy. They can afford to abolish GST and reduce the burden for the people.
It is extremely foolish of the PAP government to continue to impose the GST burden on the people.
Do you agree?
Tan Kin Lian
2 comments:
Yes, govts rely on GST because it's cheap for them to collect taxes.
But all countries know that GST is regressive. That's why all other countries with GST will either have 0 GST or very very low GST for essentials & staples.
Except for Singapore where subsidized public flats, rice, baby milk powder have same GST as Bt Timah bungalow, Lamborghini and private yacht.
PAP also conveniently forget that other countries' civil service have low budgets / low pay and therefore GST may be for govt cost savings.
However S'pore civil service have big budgets and civil servants' salaries are higher than most private sector here. This leads to the obvious state of affairs in S'pore where the rich / higher paid get to keep more of their money, while the lower income are forced to cough out more money for daily living / survival.
Sooner or later, the Woodlands Causeway will be jammed packed because many Singaporeans will flock to buy stuffs in Malaysia - which is GST free.
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