Singapore raises GST to 9% by 2025
- Feb 18, 2018 | Richard Asquith
In today’s Singapore 2018 budget, it was announced that Goods and Services Tax (GST) will increase from 7% to 9% between 2021 and 2025. GST has been at 7% since July 2007, when it was raised from 5%.
The exact timings of the staged rises will be confirmed at a late date, and will depend on the performance of the economy. The poorest in the economy will receive GST vouchers to help offset the increase in prices of essentials.
The rise is to help fund spiraling social costs as the population ages. Social expenditure has trebled in the last 5 years.
Japan similarly has a program to raise its Consumption Tax to 10% for the same reason.