Singapore Finance Minister Heng Swee Keat announced a range of tax increases in his budget, including a surprise hike in property levies, as he seeks to shore up savings to cope with a rapidly aging population.
The stamp duty on residential properties in excess of S$1 million ($761,600) was increased to 4 percent from 3 percent, effective from Tuesday, Heng said in a speech in Parliament. The government also plans to raise the goods and services tax by 2 percentage points to 9 percent sometime from 2021 to 2025, he said.
“There is a need to strengthen our fiscal footing,” Heng said. “In the next decade, between 2021 to 2030, if we do not take measures early, we will not have enough revenues to meet our growing needs.”
Key Highlights from Budget