GST Ramblings

As promised my list of things to write. The recent GST hike in Singapore is a storm in blogshpere. Due to the fact that our gahmen wants to use the tax increase to help the poorer. I really like to wait to see (really and sincerely) what packages they will be offering. And to WHOM could apply for these packages?? :)

Thailand itself has a GST known as VAT (Value Added Tax) Quite similar to our GST. But there are exceptions.

According to here

VAT does not includes

1. Small entrepreneur whose annual turnover is less than 1.2 Million Baht;
2. Sales and import of unprocessed agricultural products and related goods such as fertilizers, animal feeds, pesticides, etc.;
3. Sales and import of newspapers, magazines, and textbooks;
4. Certain basic services such as;
   transportation - domestic transportation and international transportation by way of land,
   Healthcare services provided by government and private hospitals as well as clinics,v
   Educational services provided by government and private schools and other recognized educational institutions,
   Professional services - Medical and auditing services, lawyer services in court and other similar professional services that have laws regulating such professions,
   Renting of immovable properties.
5. Cultural services such as amateur sports, services of libraries, musuems, zoos;
6. Services in the nature of employment of labour, research and technical services and services of public entertainers;
7. Goods exempted from import duties under the Industrial Estate law imported into an Export Processing Zones (EPZs) and under Chapter 4 of the Customs Tafiff Act;
8. Imported goods that are kept under the supervision of the Customs Department which will be re-exported and be entitled to a refund for import duties; and
9. Other services such as religious and charitable services, services of government agencies and local authorities.
   

I really really like point number 4. No tax for medical and educational services. I had paid my hospital bills for my baby here and wife's grandpa. NO VAT. If the list could include utility such as Water and Electricity, its even better.

In short, if the gahmen really want to help the poor or the whole Singapore population, strip GST from utility bills, transportation, medical and education services. You can still raise the 2% GST and forget about the help package as promised. The people will be grateful, I too will vote for PAP if that happens(though I doubt so they will do it) :)