Singapore's financial district (Photo: AFP/VNA) Singapore (VNA) – The Singaporean government will lift the Goodsand Services Tax (GST) from the current seven percent to 9 percent in2021-2025, said the country’s Finance Minister Heng Swee Keat at the parliamenton February 19.
He said the exact timing for the adjustment will depends on “the state of theeconomy, how much the government’s expenditures grow, and how buoyant theexisting taxes are."
According to the minister, although the Singaporean government explored variousoptions to manage its future expenditures through prudent spending, saving andborrowing for infrastructure, there is still a gap.
The tax hike is expected to bring almost 0.7 percent of Singapore's grossdomestic product per year to government revenue, he added.
The latest GST rise in Singapore took place in 2007.-VNA
He said the exact timing for the adjustment will depends on “the state of theeconomy, how much the government’s expenditures grow, and how buoyant theexisting taxes are."
According to the minister, although the Singaporean government explored variousoptions to manage its future expenditures through prudent spending, saving andborrowing for infrastructure, there is still a gap.
The tax hike is expected to bring almost 0.7 percent of Singapore's grossdomestic product per year to government revenue, he added.
The latest GST rise in Singapore took place in 2007.-VNA
VNA
