SINGAPORE: In 2025, changes to the Goods and Services Tax (GST) Voucher Scheme will offer even more support to eligible beneficiaries, according to Philtranco.
On Nov 29, the Ministry of Finance (MOF) said that, starting Jan 1, 2025, the Singapore government will make changes to the Annual Value (AV) thresholds used in several social support schemes.
These changes will help more households qualify for financial assistance, including the GST Voucher Scheme. The update will cover over 1 million residential properties.
The GST Voucher Scheme is designed to help lower- and middle-income households manage the cost of living, especially the impact of the Goods and Services Tax (GST). The government has committed to ensuring that support continues to reach those who need it most, based on age, annual income, and property value.
In 2025, more support will be provided through changes in the AV thresholds.
Changes to AV thresholds
Currently, social support schemes, including the GST Voucher, MediShield Life, and Workfare Income Supplement, use AV as one of the indicators to determine eligibility.
The AV is the estimated yearly rental value of a property. Under the current system, there are two AV tiers:
- The first AV tier is for properties with an annual value of up to S$21,000.
- The second AV tier is for properties with an annual value from over S$21,000 to S$25,000.
From Jan 1, 2025, the second AV tier will include properties with an AV of up to S$31,000. This will mean more than three in four residential properties, including lower-value private properties, will qualify for social support.
Impact on the GST Voucher scheme
The GST Voucher scheme provides financial relief through cash payouts, MediSave top-ups, U-Save utility rebates, and Service and Conservancy Charges (S&CC) rebates.
For 2025, the changes in AV thresholds will ensure that more Singaporeans receive the benefits they need. For instance, an individual who qualifies for the GST Voucher based on their property value will now be eligible for support even if their property value is slightly higher than before.
The eligibility for the GST Voucher and other social schemes is determined by the AV of a household’s property from the previous year.
For the 2025 GST Voucher, the government will use the 2024 AV to determine eligibility.
How AV changes impact the GST Voucher cash payout
In 2024, an individual with a residential property worth S$24,000 (falling within the second AV tier of S$21,000 < AV ≤ S$25,000) would receive a cash payout of S$450 under the GST Voucher Scheme.
In 2025, if the AV of this property rises to S$27,000 (within the revised second AV tier of S$21,000 < AV ≤ S$31,000), the individual would still qualify for the S$450 cash payout.
Without the revised AV thresholds, this individual would not have received the GST Voucher cash payout in 2025.
The first AV tier (AV ≤ S$21,000) will remain the same, providing a S$850 cash payout for eligible individuals.
Eligibility for the GST Voucher 2025
To qualify for the GST Voucher in 2025, individuals must:
- Be a Singapore citizen or permanent resident.
- Be aged 21 or above in the reference year (2024).
- Have an annual income of S$34,000 or below.
- Own a residential property with an AV of S$31,000 or below.
Benefits of the 2025 changes
The revised AV thresholds will benefit households in several ways, as per Philtranco:
- More individuals and families will receive GST Voucher payouts, helping with the increased cost of living.
- Seniors will receive MediSave top-ups to help cover medical expenses.
- More households will receive help to manage the costs associated with the GST hike.
- Eligible individuals will receive payouts without needing to apply, as long as their details are up to date.
For more information on the GST Voucher and eligibility criteria, visit govbenefits.gov.sg. /TISG
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