Is this one of their promises again?

Anyway, this should not even be a basis for arguing that a GST hike should be justifiable.

Is there even a need to to hike up the GST in the first place?

If wage increments are projected in the financial forecast, then there would be surpluses in income taxed, w0uldn’t there?

And saying that “the increase in GST was a necessary cog in the wheel to address the widening income gap” is simply oxymoronic. It will merely create a Catch 22 situation. Seems like Steve Chia was not “misleading” in predicting that GST will eventually rise to 7%, 10% and more.

The widening income gap is not caused by the government-proclaimed globalisation. If only they would quit their clumsy attempts at social engineering and manipulating the commerical market, and just focus on getting their basics right, there might just be one less suicide in the future.

Higher wages will offset GST hike for better-off: Defence Minister Teo
Loh Chee Kong

ALLAYING worries that the impending Goods and Services Tax (GST) hike would
be a burden on Singaporeans, Defence Minister Teo Chee Hean said yesterday that
the expected rise in wages for the middle and upper-income groups should offset
the two-percentage-point increase.

Mr Teo, who is also Minister in Charge of the Civil Service and was speaking to reporters on the sidelines of the Public Service Exhibition, also reiterated that the hike was not meant to stretch the low-income group but to grow the resources to help them.

Prime Minister Lee Hsien Loong said on Monday that the GST will rise from 5
per cent to 7 per cent, with more details to be announced during the Budget in
February, together with an “offset package” to help low-wage earners cope.

Saying that the increase in GST was a necessary cog in the wheel to address
the widening income gap, Mr Teo reminded Singaporeans that there were other
prongs in the approach.

“We also want to make sure the economy grows, and that we have the
flexibility to reduce company tax, personal income tax. (We’ll) encourage people
to be more innovative, and to pay for expenses,” he said.

As the Government sets out to help the low-wage earners, a robust economy
would raise the wages of all Singaporeans, including the lower-middle income
group. With the exception of the low-income group, Singaporeans’ increased
earnings would “help them deal with” the GST hike, said Mr Teo.

Referring to 1994, when the GST was first introduced, Mr Teo added that the
Government is now experienced in “helping Singaporeans overcome the difficulties
of GST”.

More power on your cellphone

By 2008, Singaporeans will be able to access at least 300 Government
services using their mobile devices. Mr Teo Chee Hean made the announcement at
the launch of the Public Service Exhibition at the HDB Hub yesterday morning.

Currently, only 150 Government services can be accessed through mobile
devices.

Singaporeans can now take part in deciding what services should be
provided, through an SMS feedback service. To take part, key in
mgov, followed by your service suggestion, and send it to 74688.
The line will be open until the end of the year.

Those who are not IT-savvy will be able to get assistance at the
CitizenConnect Centres. Twenty-two new centres have been added to the five
existing ones. Besides the ones at the CPF Board’s Service Centre in Jurong and
the Inland Revenue Authority of Singapore office at Novena, the other centres
are located at various community centres and clubs.