There were no wealth taxes announced in Singapore’s Budget on Monday, but observers say it’s likely to come, just a matter of when, as Singapore spends more on healthcare and infrastructure. Indeed Finance Minister Heng Swee Keat said his ministry is studying new taxes or raising tax rates.
“Domestically, we will also face rising expenditures over the longer term as we invest more in healthcare and infrastructure,” he said. “We will have to raise revenues through new taxes or raise new rates. We are studying the options carefully,” he said.
Observers say higher tax rates on personal income tax, property tax and the goods and services tax (GST) are the most likely sources of additional revenues.
Suan Teck Kin, United Overseas Bank senior economist, said Singapore’s labour force growth is set to slow, in part due to the ageing population, and this could moderate the potential growth rate of Singapore companies downwards. PHOTO: Finance Minister Heng Swee Keat (mothership.sg) READ MORE: http://www.businesstimes.com.sg/government-economy/singapore-budget-2017/no-wealth-taxes-yet-govt-looking-at-new-or-higher-taxes