Tax than kanna tax again?
TAX
1.
1.
a sum of money demanded by a government for its support or for specific facilities or services, levied upon incomes, property, sales, etc.
2.
a burdensome charge, obligation, duty, or demand.
Ok so most of us pay tax. We pay tax base on our annual salary factor in the deduction of tax relief. So in essence we are paying tax for the money left over for us to spend and a portion of our salary are excused from tax factoring due to government policy, this is call tax relief. If you have dependent parents and kids, you can get tax relief. If you havw a handicapped sibling requiring your monetary support, you get tax relief. If you are studying part time at a government approved education institution, you get tax relief. The list goes on as a reward to obedient Singaporean who follows the government policy.
However some (like me) may realize that we are unwittingly subjected to double taxation in many instances? Take for example the everyday GST of 7% you paid from grocery to electronic product using your taxable salary. The 7% don't go to profiting the merchant but straight to the government coffers as tax. You had paid $100 for the "real value" of the product and a $7 tax to the government making the total of $107 out off your pocket. As for your income tax, the government will still tax you base on your initial ownership of that $107 dollars. Lets assume the tax is 2% which means you will be paying an additional $2.14 cents to the government.
This is simple elementary math here we are dealing with but it make simple sense as well. You paid $107 dollars for a $100 product means $7 dollars of GST plus $2.14 of income tax goes to the government. Thats $9.14.
So should we be grateful to the government for giving us GST rebates? No in my opinion because its only right that as a law abiding citizen who never evade tax to get back the extra money that was given away due to poor taxation principles.
Food for thought, its not just the GST that are part of the double taxation. You are double tax on properties (set to rise soon), tv license fee, your water supply bills, your electricity bill, monthly fees to town council for service and conservancy charges and god knows what else.
Ok so most of us pay tax. We pay tax base on our annual salary factor in the deduction of tax relief. So in essence we are paying tax for the money left over for us to spend and a portion of our salary are excused from tax factoring due to government policy, this is call tax relief. If you have dependent parents and kids, you can get tax relief. If you havw a handicapped sibling requiring your monetary support, you get tax relief. If you are studying part time at a government approved education institution, you get tax relief. The list goes on as a reward to obedient Singaporean who follows the government policy.
However some (like me) may realize that we are unwittingly subjected to double taxation in many instances? Take for example the everyday GST of 7% you paid from grocery to electronic product using your taxable salary. The 7% don't go to profiting the merchant but straight to the government coffers as tax. You had paid $100 for the "real value" of the product and a $7 tax to the government making the total of $107 out off your pocket. As for your income tax, the government will still tax you base on your initial ownership of that $107 dollars. Lets assume the tax is 2% which means you will be paying an additional $2.14 cents to the government.
This is simple elementary math here we are dealing with but it make simple sense as well. You paid $107 dollars for a $100 product means $7 dollars of GST plus $2.14 of income tax goes to the government. Thats $9.14.
So should we be grateful to the government for giving us GST rebates? No in my opinion because its only right that as a law abiding citizen who never evade tax to get back the extra money that was given away due to poor taxation principles.
Food for thought, its not just the GST that are part of the double taxation. You are double tax on properties (set to rise soon), tv license fee, your water supply bills, your electricity bill, monthly fees to town council for service and conservancy charges and god knows what else.
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