WP does not support the impending GST hike: Pritam Singh proclaims at budget debate

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The Workers’ Party’s assistant secretary-general Pritam Singh proclaimed at the budget debate today that his party does not support the plan to hike the Goods and Services Tax (GST) some time from 2021 to 2025.

Finance Minister Heng Swee Keat announced last Monday that the GST will increase by 2 per cent to 9 per cent from 2021 onwards, as he delivered Budget 2021. The GST hike would contribute towards key expenditure areas such as spending for healthcare in the future, according to the government.

The WP’s position is that the government should consider alternative approaches instead of raising taxes. Singh said: “GST may well have to rise, but Singaporeans could be more likely to accept it if the Government considers the pros and cons of moving from the establishing orthodoxy, and consider new approaches that improve social protection thresholds for all.”

Noting that the Government has not clarified on what its projected expenditure will be in future when GST is slated to increase, Singh asserted that there is a “lack of clarity” on whether it is necessary to hike GST and added: “In view of the absence of such details, the Workers’ Party is unable to support the announcement of a GST hike at this moment in time.”

Instead of a GST hike, one new approach to raising revenue would be to use proceeds from land sales. Singh offered that this method would be “novel” and “relatively radical” in a 20-minute speech on the matter.

Revenue from land sales is presently not available for budgetary spending under the constitution, since land forms part of Singapore’s past reserves. According to the government, this is because such a framework will prevent each term of government from needlessly selling land to meet expenditure needs and possibly drive up property prices, as a result.

A portion of the revenue from land sales which is invested as part of the past reserved is available for meeting expenditure needs under the Net Investment Returns Contribution (NIRC) framework, which allows up to 50 per cent of the returns from investing the reserves to be spent.

Acknowledging the current framework and the reasons behind it, Singh said that the issue of unnecessary land sales can be circumvented by a cap on the amount of earnings that can be used.

For example, the government can legislate that “not more than 20 per cent of the value of average land sales over 20 years, or 20 per cent of land sales for that year, whichever is lower” can be used for spending: “This would give no good reason for an ill-advised government to ramp up land sales when in government to increase its own income.”

The Aljunied GRC MP added that if there is no “co-mingling” of the revenue from land sales with other reserves for investments under such a new framework, which would result in greater transparency. Singh added that this would also protect revenues against “the consequences of poor investment decisions” by the investment bodies like GIC.

PAP MP Lim Biow Chuan opposed Singh’s suggestion to use revenue from land sales instead of hiking GST because “Once the land is sold, the asset is gone”.

 

WP chairman Sylvia Lim asked Mr Lim to clarify what he meant, as land is sold on leasehold terms and will eventually revert back to the state. To this, Lim offered that land is sold on 99-year leases and so can only be sold after the lease expires in 99 years.

77 COMMENTS

  1. Agree with Pritam Singh that our government can sell the lands especially to enbloc the HDB apartments at Lorong Ah Soo and sell to developers to build condominium, enbloc the temples and old age homes that are next to HDB, then sell the lands to provide healthcare for our aging population! Relocate the old age homes and temple to Paya Lebar airport that will be demolished
    Lands at Lorong Ah Soo is between 2 MRT stations with 2 wet markets and many schools, therefore is a prime location for those who are raising families

  2. “Once the land is sold, the asset is gone”! See how blatantly the whites not telling the entire truth?

    Land sold to have leasehold for residential and even shorter for industrial land. It’s basically reoccurring, re-spawning assets for the country!

    Basketball!

    • THAT’S RIGHT.

      USE OF CPF TO ACQUIRE FLAT
      =========================
      USE CPF TO ACQUIRE FLAT. MOST OF THE TIME, NOT ENOUGH. MUST TAKE HDB LOANS. HDB INTEREST RATE IS HIGHER THAN BANK INTEREST RATE.

      THE LONGER YOU REPAY HDB LOAN, THE MORE INTERESTS YOU HV TO PAY TO HDB. PLUS OTHER CHARGES LIKE GST, LEGAL FEES, MISCELLANEOUS FEES.

      ULTIMATELY, HV TO PAY MORE THAN DOUBLED TO ACQUIRE ONE FLAT, THAT IS, PAY TWO FLAT PRICE OR MORE FOR ONE UNIT ACQUIRED.

      WHEN FLAT IS SOLD, ALL CPF TAKEN OUT TO ACQUIRE PLUS INTEREST AND ALSO GRANTS (IF I’M. CORRECT) TO BE PUT BACK INTO YR CPF ACCT. AGAIN, LOST IN CPF ACCRUED INTERESTS BECOS OF WITHDRAWAL TO ACQUIRE FLAT.

      WORST SCENARIO, THE INTEREST FACTOR COULD OUTWEIGH THE SALES PROCEEDS OF FLAT. ONE MIGHT LEFT WITH NOTHING FOR RETIREMENT.

      HDB IS A “SUPER MONOPOLY”!
      =========================

      SINCE THE LAST TIME I SIGHTED THE BUDGET STATEMENT FROM MIN. OF FINANCE WEBSITE AS AT 2013, I NOTICED THAT REVENUES FROM HDB SALE OF FLATS HAS BEEN IN THE RISING TREND.

      NOT ONLY THAT, HDB REVENUES IS THE HIGHEST AMONG ALL OTHER REVENUES RECEIVED BY GOVT.
      THAT’S. WHY I SAID HDB IS A “SUPER MONOPOLY” IN ECONOMIC TERM. I’M NOT SAYING IT JUST TO POKE AT HDB.

      ONE UNIT OF FLAT, HDB CAN EARN HUNDRED OF THOUSANDS OF DOLLARS.

      HOW MANY FLAT UNITS ARE THERE IN ONE BLOCK OF FLATS?

      HOW MANY BLOCKS OF FLATS ARE THERE IN ONE ESTATE?

      HOW MANY ESTATES ARE THERE IN SG?

      NOT FORGETTING, THE BIGGER THE UNIT, THE MORE YOU PAY, WHICH MEANS THE MORE HDB EARNS!!

      SO, WHEN ROTTON LHL IN HIS 2013 NDR SPEECH, HE TOLD NETIZENS ABOUT “AFFORDABLE HOUSING” TO COUNTERACT MY ACCUSATION OF HDB AS “SUPER MONOPOLY” PROVED ROTTON GOVT IS LYING!!

      SO, THE FOLL. YEAR NDR SPEECH, ROTTON LEADER CAME OUT WITH “PIONEER PACKAGE” TO BUY CITIZENS’ HEARTS.

      CPF INTEREST RATE VS EOF INT RATE VS INVT EARNING
      ============================================

      AND THE CPF INTEREST RATE PAID TO ACCT MEMBERS AT ONLY 2.5% AS COMPARED TO THE. MSIAN EPF INTEREST RATE AT 6.9%.

      BOTH GIC AND TEMASEK HLDG USED OUR CPF MONIES FOR INVESTMENT AND THEIR ANNUAL EARNINGS IS MORE THAN 10.8% (TWO DAYS AGO, PER CNA NEWS HIGHLIGHTS) BUT CPFB ONLY PAY US AT 2.5%.

      RETIREMENT ACCT AND MORTGAGE
      ===============================

      IF REACH AGE 55, IF YOU WISH AND IF YOU CAN AGAIN WITHDRAW PART OF YR RETIREMENT FUND, MUST MORTGAGE YR FLAT.

      NO MORTGAGE REQUIRED IF RA MEETS STIPULATED LIMIT AND IN EXCESS.

      AGAIN, WHEN SOLD, STILL HV TO PUT BACK WHATEVER YOU HV TAKEN OUT FROM RA PLUS INTERESTS. WE HV TO PAY INTERESTS TO ONESELF. WHAT’S THE MEANING OF THIS IN VIEW CPF IS OUR OWN HARD EARNED MONIES?

      NOTE, ONCE YOU TOUCHED YR RA WITH MORTGAGE, YOU CAN ONLY GET THE MINIMUM MONTHLY PAYOUT AT AGE 65, EVEN DESPITE YR RA IS IN FULL AND MET THE CRITERIA SET BY CPF. VERY SHIT.

      IN WHATEVER WAY, ROTTON PAP SUCKS CITIZENS UNTIL DRY!!

      WHAT DO YOU THINK OF ROTTON PAP?
      ================================

      DON’T YOU THINK ROTTON PAP IS LEGALLY CORRUPTIVE?

    • This guy Loke Fook Seng always defending China. He goes through all comments and whack anyone that says bad things about China. I am not sure if he is from Singapore. Anyway, I let informed readers to research themselves. Many readers are well versed in finance and economics and they don’t just brush off with the words – fake news.

    • Edwin Kwan I am also not sure whether you are from Singapore when you endeavour to sour relationship with a growing economic and military power which is also among your largest trading partners, if not the largest, and increasingly so. What I am certain is that you are a brainwashed banana.

    • It’s ok to have different opinions. As long as you are loyal to Singapore. Whether you are Chinese School educated and felt aggrieved by the ending of it. Whether you have businesses and depended on Chinese customers to survive. Whether you are laid off and did not climb up the social ladder and want to hit out at the government. Need to have balance of views, and if you don’t have, just listen out to them opposite sides.

  3. Kindly be inform that The Singapore governance have already Lost their Territory & Jurisdiction to continue running the daily administrations unless a New Land Grant Title from the Holder of the World Land Title Holder OCT 01-04S in the Treaty of Paris Agreement 10 Dec 1898 and Redeemer of Federal Reserve system for World Peace with the permission is granted-Queen Salvacion Legaspi.

    Ambassador & Advocate
    Harun Aminurasyid
    Kingdom Filipina Hacienda In Singapore
    The Host Sovereignty Nation of All Nations

  4. GST provides continuous income to government, land sale doesn’t. And the amount from GST is huge as compared to land sale. If the average Singaporean spends $2000 a month, 9% GST will be about $2000 a year. Multiply by about 5 million Singaporeans we are looking at approximately $10 billion a year. Even the most expensive land sale in the most premium district in Singapore doesn’t even fetch half the amount. How much land can we sell every year before we run out of land to sell? We will exhaust the budget before 99 years is up.

  5. AS I HV HIGHLIGHTED BEFORE, THE “ABSOLUTE REDUNDANT” POSTS OF PRESIDENT, ESM, EXTRA DPM (CURRENTLY 2 DPM) AND MM (LKY DIED), WHO ARE DRAWING MILLION $ SALARIES CAN BE ELIMINATED.

    SINCE THOSE BUNCH OF CRONY MINISTERS AND MP ARE SO INCOMPETENT, DO THEY DESERVE TO BE SO MUCH SALARIES?

    SINCE 2013, I HV BEEN TELLING SG THAT HDB IS A “SUPER MONOPOLY” BECOS HDB IS THE SOLE SUPPLIER OF HOUSING FLATS. HENCE, NO COMPETITORS AND HDB HAS THE UPPERHAND TO EARN EXORBITANT PROFITS.

    • THAT’S RIGHT.

      USE CPF TO ACQUIRE FLAT. MOST OF THE TIME, NOT ENOUGH. MUST TAKE HDB LOANS. HDB INTEREST RATE IS HIGHER THAN BANK INTEREST RATE.

      THE LONGER YOU REPAY HDB LOAN, THE MORE INTERESTS YOU HV TO PAY TO HDB. PLUS OTHER CHARGES LIKE GST, LEGAL FEES, MISCELLANEOUS FEES.

      ULTIMATELY, HV TO PAY MORE THAN DOUBLED TO ACQUIRE ONE FLAT, THAT IS, PAY TWO FLAT PRICE FOR ONE.

      WHEN FLAT IS SOLD, ALL CPF TAKEN OUT TO ACQUIRE PLUS INTEREST TO BE PUT BACK INTO YR CPF ACCT. AGAIN, LOST IN CPF ACCRUED INTERESTS.

      AND THE CPF INTEREST RATE PAID TO ACCT MEMBERS AT ONLY 2.5% AS COMPARED TO THE. MSIAN EPF INTEREST RATE AT 6.9%.

      BOTH GIC AND TEMASEK HLDG USED OUR CPF MONIES FOR INVESTMENT AND THEIR ANNUAL EARNINGS IS MORE THAN 10.8% (TWO DAYS AGO, PER CNA NEWS HIGHLIGHTS) BUT CPFB ONLY PAY US AT 2.5%.

      DON’T YOU THINK ROTTON PAP IS LEGALLY CORRUPTIVE?

  6. Why need to increase GST when the dishonourable son carried a bag of 12 billions to Go Chi Minh to invest in building VIVOCITY ?
    Why act rich in front of foreigners and cry poor to our very own country fellowmen ???
    Truly born in Singapore citizens are not idiots, if money not enough, then don’t invest in foreign countries and then tax the poor to make us homeless and hungry yet they have millions to enjoy and leave great funds for their descendants!
    There is nothing new under the Sun as history always repeat!
    Humanity is not about always saving money for the next generation, it is about relieving stress of our current poor senior citizens who are skinny and without fresh foods to eat for survival
    When the trend of lbgt is increased, the next generation population is decreased!
    Why do we cross the bridge before we come to it???
    The rich are very self-centred and care only for their next generation, but are we going to see our aging population suffering and yet keeping our resources for the next generation?
    The hard truth is that next generation will never end but PAP will surely come to an abrupt end at SINGAPOREANS are not idiots, especially our political leaders are fake elites who are good only in bullying our very own country fellowmen, making the poor hungry and homeless in spite of our great surpluses in almost all ministries including healthcare as polyclinic make millions and eldershield insurance has net profits of $2.5 billions

    • FYI, IF YOU ARE NOT. AWARE.

      ACC TO. ANOTHER OPPO MEMBER, KENNETH JEYARATNAM, HE HAD MET PRITAM SINGH IN A CONFERENCE IN KL.

      HE TOLD KENNETH THAT THEY WOULDN’T DARE TO SPEAK TOO MUCH FOR FEAR OF BEING SUED TILL PANTS DROP AS THEY HV FAMILIES TO TAKE CARE.

      UNLIKE CHEE SJ AND HIS PARTY MEMBERS TOO ALSO HV FAMILIES TO TAKE CARE TOO.

      REMEMBER CSJ AND HIS PARTY MEMBERS PAID FOR THEIR PRICES.

      FYI, CSJ HAD EXPOSED THE WRONGFUL GIC INVT WITH DRUGLORD IN MYANMAR IN THE EARLY DAYS. AS A RESULT, LKY SINCE THEN PICKED ON HIM AND SUED HIM ALWAYS, EVEN TILL BANKRUPTCY AND FORCED HIM. OUT TO TAKE PART IN POLITICS.

      TILL FINALLY I FOUND THAT IT WAS. VERY UNFAIR OF PAP TO TREAT OPPO LIKE THIS.

      I REASONED OUT TO LKY THAT BY RIGHT PAP SHOULD APPRECIATE CSJ’S KINDNESS TO EXPOSE GIC’S WRONGFUL INVT. GIC HAD NOT CHECKED CAREFULLY BEFORE INVT AND BECOS OF SUCH IGNORANT, THE HUGE INVT FUND CAN BE MISUSED BY DRUGLORD TO MANUFACTURE MOUNTAINS AND MOUNTAINS OF DRUGS TO HARM ALOT ALOT OF PPL.

      SINCE THEN, LKY STOPPED ATTACKING CSJ.

      THEN, FORMER GIC CEO, YUNG PUNG HOWE (LKY’S GOOD FRIEND) STEPPED DOWN TO BECOME CHIEF JUSTICE. THEN CAME THE IMPLEMENTATION OF MANDATORY DEATH SENTENCE FOR DRUG TRAFFICKING.

      ROTTON PAP AGENCY MADE MISTAKES AND ROTTON GOVT TURNS AROUND TO MAKE OTHERS PAY FOR THE PRICE OF IT!! SO DESPICABLE.

      YES, WP MEMBERS HV FAMILIES TO TAKE CARE, THEREFORE, CAN’T SPEAK UP TOO MUCH. DOESN’T CSJ AND HIS PARTY MEMBERS TOO HV FAMILIES TO TAKE CARE?

      AS FAR AS I CAN SEE IT, I FIND CSJ AND HIS PARTY MEMBERS ARE MORE DARING AND MORE SINCERE.

      BUT I FIND THAT WP DON’T EVEN KNOW HOW TO FIGHT FOR THEIR OWN RIGHTS.

      FOR EXAMPLE, WP’S TWO TIMES Q WERE NOT ABLE TO BALLOT IN PARLIAMENT DURING PRESIDENTIAL ELECTION. SO, I THEN ASKED WHO BALLOTS THE Q BECOS AFTER HALIMAH STEPPED DOWN AS SPEAKER, THERE’S A VACCUUM AS TAN CJ HAS YET TO TAKE OVER? WHO WITNESSED THE BALLOTTING?

      IF WP HAS GIVEN ME THE IIMPRESSION THEY DON’T SEEM TO KNOW HOW TO FIGHT FOR THEIR OWN RIGHTS, THEN HOW COULD CITIZENS EXPECT THEM TO FIGHT FOR THE RIGHTS OF OTHERS?

      LTK SAID THEIR ROLE IS TO CHECK AND BALANCE OPPONENT PARTY. BUT THEY ENDED UP BEING ATTACKED BY ROTTON PAP ON AHTC ON CONFLICT OF INTEREST.

      IF NOT IF MY COUNTER ATTACKED ROTTON PAP ON THEIR SAME CONFLICT OF INTEREST SUCH AS LHL AS PM AND HUSBAND COULD APPOINT HIS OWN WIFE AS CEO OF TH, I BELIEVE WP WOULD HV BECOME A PIECE OF CLOTH FULL OF STAINS.

      WP SEEMS TO THREAD ON THE FOOTPATH OF PAP THINKING THAT PAP IS BASING ON LKY’S LEGACIES, SURELY MUST BE RIGHT TO FOLLOW TO MAKE SG BECOMES THE FIRST WORLD CLASS SOCIETY.

      BUT BOTH PARTIES, WP AND PAP, DON’T SEEM TO KNOW I HV ALREADY PROVEN MANY OF LKY’S LEGACIES WRONG, IF NOT FLAWED!!

      I THEN TOLD SG THAT THEY BETTER LOOK FOR A MORE RELIABLE ANOTHER OPPO PARTY SO AS TO COUNT ON THEM TO SPEAK UP FOR THEIR RIGHTS ON THEIR BEHALF SOME TIME AGO.

  7. HK is reinvesting its surpluses into healthcare as they also face an aging population and cutting taxes together with handouts for its populous while we get 100 to 300 bucks which ultimately gets taken back through tax increases.
    scmp://news/hong-kong/economy/article/2135075/six-key-hong-kong-budget-takeaways-you-need-know-spend-spend?entity=node&type=article&id=2135075&target_url=https%3A%2F%2Fwww.scmp.com%2Fnews%2Fhong-kong%2Feconomy%2Farticle%2F2135075%2Fsix-key-hong-kong-budget-takeaways-you-need-know-spend-spend