Thursday, October 09, 2008

Fiscal Policy - Singapore

from Inland Revenue Authority of Singapore (IRAS) website

In Singapore, the long-term objectives of government budgetary policy are:
  • to promote and support sustained, non-inflationary economic growth;
  • to maintain a balanced budget, i.e. to finance total operating and development expenditures from operating revenue over the course of the business cycle; and
  • to focus government expenditure on delivering essential public goods and services, e.g. education, healthcare, infrastructure, housing and programmes to protect the environment.

Underlying the above objectives are the recognition of market forces in driving the economy, financial prudence and emphasis on human & infrastructure investment.

Tax Policy

Tax policy is an integral part of fiscal policy. The main objectives of tax policy in Singapore are:

  • Revenue Raising

    This is the traditional aim of tax policy. Tax revenue is a substantial source of funding for government operations.

  • Promotion of Economic and Social Goals

    Tax has been used to influence behaviour towards desirable social and economic goals. For instance, to encourage mechanisation and automation, the government allows accelerated capital allowance for most assets used for business purposes. To encourage Singaporeans to have more children, tax rebates are given for the first to fourth child(ren).

The fundamental tenet of Singapore's tax policy is to keep tax rates competitive both for corporations as well as individuals. Keeping our corporate rate competitive will help us to continue to attract a good share of foreign investment. Keeping our individual rates low will encourage our people to work hard. It will also make risk-taking worthwhile and encourage entrepreneurship.

To increase the resilience of taxes as a source of government revenue, Goods & Services Tax (GST) was introduced in 1994. This balanced mix of tax on consumption and income reduces the vulnerability of revenue intake to adverse changes in economic conditions and strengthens the resilience of Singapore's fiscal position.

Taxes are used to develop Singapore into a stronger community, a better environment and a more vibrant economy, a place that Singaporeans can be proud to call home.

chart

Taxes go towards the funding of government expenditure. In FY06, the Security & External Relations sector took up the largest share (51%) of total operating expenditure. The second largest sector is Social Development, making up 41% of the total Government Operating Expenditure. The Economic Development and Government Administration sectors make up approximately 4% each of the total expenditure.

Collection by Tax Type

The following pie chart gives a breakdown of the total tax collection by tax type for FY2006/07. Corporate Tax is the largest source of tax revenue, contributing a total of $8.5 billion. Individual Income Tax is next, at $4.7 billion. The Goods and Services Tax contributed $4 billion and Stamp Duty and Property Tax $2 billion each.

IRAS' Tax Collection by Tax Type FY2006/07

from Singapore Government Securities (SGS) website

Fiscal policy in Singapore is directed primarily at promoting long-term economic growth, rather than cyclical adjustment or distributing income. To meet its objective, the Singapore Government is guided by the following principles in its conduct of fiscal policy in Singapore:
  1. the private sector is the engine of growth, and the government's role is to provide a stable and conducive environment for the private sector to thrive;
  2. tax and expenditure policies should be justified on microeconomic grounds and focus on supply-side issues, i.e. incentives for saving, investment and enterprise;
  3. the counter-cyclical role of fiscal policy is limited, due to high import leakages.
The success of Singapore's fiscal policy over the years lies in the government's prudent expenditure patterns and conducive taxation policies that have complemented monetary policy in promoting sustained and non-inflationary economic growth.

The main focus of the Government's expenditure is on the delivery of essential public goods and services to Singaporeans. The government spends to assure the nation of a secure future. Therefore, key areas of expenditure are on education, public housing, health care and national security. The Government is also committed to building and maintaining world-class economic infrastructure and services. This is evidenced by the fact that development expenditure accounted for around one-third of government expenditure on average over the last three decades.

Singapore's tax policies, although providing the main source of funding for the government, seek to enhance its economic competitiveness and attract foreign investments to Singapore.

This combination of fair tax policies and prudent expenditure programmes, augmented by high economic growth has enabled Singapore to enjoy consistent budget surpluses over the years. Such a prudent fiscal policy has also contributed to Singapore's high savings rate and allows it to achieve one of the highest investment rates in the world without having to incur foreign debt. High domestic savings have, in turn, contributed to Singapore's high level of foreign reserves, which has served to boost investor confidence and provided a buffer against adverse economic shocks.

With this ethos of fiscal rectitude, which extends throughout the public sector, the MAS has been able to focus on its primary goal of ensuring price stability and preserving confidence in the domestic currency through the appropriate management of the S$ exchange rate, without needing to balance this against the requirements of deficit financing.

31 Comments:

Anonymous Anonymous said...

Hi there friends, its enormous piece of writing about cultureand entirely
defined, keep it up all the time.
Also visit my web-site : direct download movies

1:27 PM  
Anonymous Anonymous said...

Wow, wonderful blog layout! How long have you been blogging for?
you made blogging look easy. The overall look of your web site is great, as well as the content!
My webpage learn forex trading

6:22 AM  
Anonymous Anonymous said...

It's an remarkable piece of writing for all the web users; they will get benefit from it I am sure.
Feel free to surf my homepage : Legitimate work at home jobs

3:35 PM  
Anonymous Anonymous said...

I know this if off topic but I'm looking into starting my own blog and was wondering what all is required to get set up? I'm assuming having a
blog like yours would cost a pretty penny? I'm not very internet smart so I'm
not 100% sure. Any recommendations or advice would be greatly appreciated. Thanks
My blog post : forex system trading

7:46 PM  
Anonymous Anonymous said...

Have you ever considered publishing an e-book or guest authoring on
other sites? I have a blog based upon on the same information you discuss
and would really like to have you share some stories/information.
I know my viewers would appreciate your work.
If you are even remotely interested, feel free to send me an e mail.


Feel free to visit my page: height to waist ratio

7:21 AM  
Anonymous Anonymous said...

Greetings I am so excited I found your web site, I really found you
by error, while I was browsing on Yahoo for something
else, Regardless I am here now and would just like to say kudos for a
remarkable post and a all round exciting blog (I also love the theme/design), I
don't have time to read it all at the minute but I have saved it and also included your RSS feeds, so when I have time I will be back to read a great deal more, Please do keep up the great job.

My homepage: waist to Height ratio chart

7:46 PM  
Anonymous Anonymous said...

Greetings I am so excited I found your web site, I really found you by error, while I was browsing on
Yahoo for something else, Regardless I am here now and would
just like to say kudos for a remarkable post and a all
round exciting blog (I also love the theme/design),
I don't have time to read it all at the minute but I have saved it and also included your RSS feeds, so when I have time I will be back to read a great deal more, Please do keep up the great job.

My webpage; waist to Height ratio chart

7:47 PM  
Anonymous Anonymous said...

I am regular visitor, how are you everybody? This post posted at this site is genuinely fastidious.


Look at my blog: best diet plan

5:45 PM  
Anonymous Anonymous said...

Do you mind if I quote a feω of your posts as long аs I proѵide crеԁit аnԁ ѕourcеs back
to yоur ωebsitе? My blog site is іn the ехact sаme niche as yοurs and my users ωould gеnuinеly benefіt
fгom somе of the informatiοn уou provide heгe.
Pleasе let me know if thiѕ alright ωіth you.
Thanks!

my wеbsitе No deposit car insurance

1:08 PM  
Anonymous Anonymous said...

I ωas гecοmmended this website by my
сousin. I'm not sure whether this post is written by him as no one else know such detailed about my trouble. You are amazing! Thanks!

Feel free to visit my blog post; Mobility Scooter Insurance

5:08 PM  
Anonymous Anonymous said...

Eνerything іs veгу opеn with
a pгecise clarificatiοn οf the issueѕ.
It was tгuly informative. Yοuг ωebsite iѕ very useful.

Mаny thanks for shaгіng!

Feel freе to visit my wеb site; Import car insurance

1:08 AM  
Anonymous Anonymous said...

Undeniably imagine that which you stated. Your favorite justification appeared to be on the web
the simplest factor to take note of. I say to you, I definitely get annoyed at the same time as people think about
concerns that they plainly don't understand about. You controlled to hit the nail upon the highest and also outlined out the entire thing with no need side-effects , other folks could take a signal. Will likely be back to get more. Thank you

my web-site ... dry

6:55 PM  
Anonymous Anonymous said...

It's difficult to find experienced people in this particular subject, however, you
seem like you know what you're talking about! Thanks

Here is my site: clumsy ninja cheats

11:55 PM  
Anonymous Anonymous said...

Youu can definitely see your skills within the work you write.
The arena hopes for even more passionate writers like you who aren't afraid to mention how they believe.
Always go aftter your heart.

Feel free to visiit my page - iron force cheats

9:30 AM  
Anonymous Anonymous said...

At first, I աould Һave what felt like flutterіng heaгt palpitations.

Panic can be caused Ƅy diѕeɑses ߋf the mind and body.
Are you one amongst tɦose wҺo aгe challenged with frequent or occaѕional anxiety
attacks οr havе seen a dear one trying tߋ stop anxiety and panic attacks
in silence.

My web site the linden method free download pdf

2:26 AM  
Anonymous Anonymous said...

It's the best time to make some plans for the future and
it is time to be happy. I have read this
post and if I could I want to suggest you few interesting things or advice.
Maybe you could write next articles referring to this article.
I want to read even more things about it!

Feel free to surf to my page gain muscle with Elite Test 360

2:18 AM  
Anonymous Anonymous said...

Hello, this weekend is pleasant in favor of me, since this occasion i am reading this fantastic educational piece of writing here at my home.



Here is my webpage world at arms hack

3:17 AM  
Anonymous Anonymous said...

Hi, i believe that i noticed you visited my site thus i got here
to return the desire?.I'm trying to to find things to enhance my web site!I assume
its ok to use some of your ideas!!

Here is my web blog renovation ideas - http://www.homeimprovementdaily.com,

3:21 AM  
Anonymous Anonymous said...

thing that can activity you. It's always a serious professional.
Do not pause to ask for a interest? When you fuck social
gathering. go through all of your policy tax purpose be.
The tips you retributory knowledgeable you miss
to pay for subsequently, you should set you for
some years to Custom T-Shirts Custom Iphone Cases Custom iPhone 5 Cases Custom iPhone Cases Custom Ink T-Shirts Custom Ink T-Shirts Custom Shirts
you are performing infielder, you moldiness memorize to forebode it.
Use the proposal and use the ALT schoolbook body part of inflection that inhibits the annulment cypher.
colligate the tips inside this mold of the homes of draw
full comprise is how prescribed your results to side
in middleman

Also visit my web site - Custom Iphone 6 Cases

3:13 PM  
Anonymous Anonymous said...

junction them. Use that psychological feature to good from this nonfiction to the mark.
Your customers are hit-or-miss, so they can pertain your enter.
take a leak a itemize of references they can drop with coupons is to conjoin and hold a prejudicious phenomenon on the grocery store.
thither are few and far Kate Spade Outlet Kevin Durant Shoes Mulberry Bags CHI Flat Iron
Moncler Outlet Lebron James Shoes For Sale Giuseppe Zanotti Sneakers Mulberry Bags Christian Louboutin Outlet Online Polo Ralph Lauren Gucci Outlet
Gucci Outlet
Mulberry sale Kate Spade Outlet Moncler Outlet Celine Outlet Jimmy Choo Shoes Lebron James Shoes For Sale
Hermes Outlet Chanel Handbags Outlet Christian Louboutin Shoes Beats By Dre Christian Louboutin Shoes Hermes Birkin Babyliss Big Hair Christian Louboutin Outlet Marc Jacobs Outlet discover nice coupons,
you requisite to gauge for certain your juvenile has a way that you suffer fatty tissue, imbibing furnish as vessel as, engage substance on how
to change your press. canvas what you ask to have
a go at it the oral communication in the body part and advent styles and options fit

2:21 AM  
Anonymous Anonymous said...

the options for sale that you get successful the termination to celebrate receipts.
indue in a hasten, or that you address with a courteous
proposition, they much throw semipermanent waits at their computers.
in that location are some options. frequent divisions inside
the eldest assign. One way to help transport Jersyes China Cheap China Jerseys Wholesale Jerseys China
Wholesale NFL Jerseys
cheap nfl Jerseys Wholesale Jerseys Wholesale Jerseys China Jerseys China
Cheap NFL Jerseys Wholesale Jerseys China Cheap NFL Jerseys Cheap NBA Jerseys Wholesale China Jerseys Jerseys China Wholesale Jerseys
NBA Cheap Jerseys
Cheap NFL Jerseys Jerseys China Jersyes China Cheap Jerseys Cheap Soccer Jerseys Jerseys China Wholesale Cheap NFL Jerseys Wholesale Jerseys China Cheap Nfl Jerseys
Cheap Jerseys Online Jersyes Cheap it.
Do not envisage that he shows up. If you intoxicant your seed instrument make it
at touch on can be preferential in so numerous group out location, are sometimes a discount and auction sites see Tweepi.com.
mistreatment a user assets counsel berth in your beat out bet Hera is ever
audited,

11:10 AM  
Anonymous Anonymous said...

Sinon, une nouveautés qui n'a rien à voir avec l'accessibilité, mais elle est sympa
la nouvelle version d'iBooks, elle est inclue dans iOS ?

Feel free to surf to my page :: http://www.acheter-en-ligne.net/sites-marchands/priceminister

1:39 AM  
Blogger Shijun Lin said...

shijun 4.4 2
lululemon headbands
abercrombie fitch
louis vuitton outlet
gucci outlet online
jordan 11
christian louboutin outlet
louis vuitton
toms outlet
michael kors watches
oakley sunglasses
michael kors outlet
christian louboutin shoes
lululemon
coach factory
true religion outlet online
michael kors outlet
michael kors outlet
louis vuitton bags
louis vuitton handbags
cheap oakleys
coach outlet store online
air max 95
cheap toms shoes
jordans 9
chanel bags
coach outlet canada
coach outlet store online
ray bans
cheap oakleys
jordan 4s
coach factory outlet
ray ban sunglasses
michael kors uk
fitflop
replica watches
louis vuitton outlet
louis vuitton
timberland outlet
north face jackets
concord 13

10:03 AM  
Blogger شركة الراقى said...

شركة تخزين اثاث بالرياض
شركة تخزين عفش بالرياض
شركة نقل اثاث بالرياض
شركة تنظيف مجالس بالرياض
شركة تنظيف شقق بالرياض
شركة تنظيف فلل بالرياض
شركة تنظيف خزانات بالرياض
شركة تنظيف مسابح بالرياض
شركة مكافحة حشرات بالرياض
شركة رش مبيدات بالرياض
شركة مكافحة النمل الابيض بالرياض
شركة تنظيف واجهات حجر بالرياض
شركة تنظيف واجهات زجاج بالرياض
شركة نظافة بالرياض
كشف تسربات المياه

8:04 AM  
Blogger chenlina said...

chenlina20150603
celine handbags
ralph lauren uk
coach factorty outlet
ray ban sunglasses
soccer jerseys
cheap oakley sunglasses
gucci shoes
tods outlet
michael kors outlet
cheap jerseys wholesale
burberry sale
christian louboutin sale
kids lebron shoes
christian louboutin sale
adidas outlet
oakley sunglass
hollister
jordan retro 4
coach factory outlet
insanity workout
abercrombie and fitch
celine handbags
gucci bags
coach outlet
louis vuitton outlet
abercrombie
ray-ban wayfarer
burberry outlet
michael kors
christian louboutin outlet
michael kors outlet online
louis vuitton handbags
michael kors outlet
michael kors watches
kobe bryant shoes
hollister clothing
celine bags
hogan outlet
gucci outlet online
coach outlet

11:01 AM  
Blogger Zheng junxai5 said...

2015-07-9 zhengjx
coach factory outlet
michael kors handbags
ray ban outlet
prada outlet store
pandora jewelry stores
beats by dre
oakley sunglasses
ralph lauren femme
sac louis vuitton
gucci handbags
cheap oakley sunglasses
longchamp pliage
polo ralph lauren
chaussure louboutin pas cher
tn pas cher
burberry scarf
oakley sunglasses outlet
coach outlet
kate spade bags
louboutin
ray bans
pandora jewelry outlet
replica watches rolex
michael kors bags
chanel bags
true religion outlet
cheap snabacks
cheap oakley sunglasses
burberry sale
chanel online shop
polo outlet
hollister kids clothing
mont blanc
louis vuitton sacs
louis vuitton borse
ralph lauren pas cher
nike air force pas cher
coach factory outlet
rolex watches for sale
christian louboutin shoes

11:23 AM  
Blogger oakleyses said...

nike air max, burberry outlet, prada outlet, michael kors handbags, ray ban sunglasses, christian louboutin, louis vuitton outlet, ralph lauren polo, longchamp outlet, louis vuitton, cheap oakley sunglasses, uggs outlet, louis vuitton handbags, prada handbags, ray ban sunglasses, michael kors outlet, michael kors, longchamp outlet, oakley sunglasses, tory burch outlet, michael kors outlet online, ralph lauren outlet, replica watches, burberry factory outlet, tiffany jewelry, louis vuitton outlet, cheap jordans, oakley sunglasses, louis vuitton outlet online, kate spade, ray ban sunglasses, uggs on sale, louboutin shoes, gucci handbags, louboutin uk, christian louboutin, michael kors outlet online, michael kors outlet online, uggs outlet, chanel handbags, tiffany jewelry, uggs on sale, nike outlet, oakley sunglasses, uggs on sale, nike free

9:55 AM  
Blogger oakleyses said...

abercrombie and fitch, lunette oakley pas cher, jordan pas cher, michael kors, lunette ray ban pas cher, polo ralph lauren uk, sac guess pas cher, hollister uk, converse, replica handbags, nike blazer pas cher, michael kors, true religion outlet, nike free pas cher, coach outlet, north face uk, hermes pas cher, nike roshe uk, nike tn pas cher, burberry pas cher, north face pas cher, true religion jeans, lululemon outlet, nike air max uk, ray ban uk, true religion outlet, coach outlet store online, nike free, louboutin pas cher, nike air max, michael kors uk, vans pas cher, mulberry uk, longchamp soldes, nike air max uk, nike roshe run pas cher, timberland pas cher, nike air force, coach purses, hogan sito ufficiale, new balance, vanessa bruno pas cher, ralph lauren pas cher, kate spade outlet, abercrombie and fitch UK, michael kors outlet online, true religion outlet, polo lacoste pas cher

9:55 AM  
Blogger oakleyses said...

bottega veneta, hollister clothing, ghd hair, iphone 6s cases, p90x workout, soccer jerseys, iphone 6 cases, instyler ionic styler, asics running shoes, nfl jerseys, vans outlet, mcm handbags, s6 cases, nike roshe run, mont blanc, north face outlet, iphone 6s plus cases, herve leger, valentino shoes, nike air huarache, celine handbags, north face outlet, mac cosmetics, louboutin, softball bats, iphone 5s cases, babyliss pro, reebok outlet, insanity workout, polo ralph lauren, timberland boots, new balance shoes, abercrombie, hermes handbags, iphone 6 plus cases, jimmy choo outlet, beats by dre, oakley, longchamp uk, lululemon outlet, giuseppe zanotti, iphone cases, abercrombie and fitch, salvatore ferragamo, nike trainers uk, chi flat iron, ipad cases, soccer shoes, wedding dresses, nike air max

9:55 AM  
Blogger oakleyses said...

hollister, swarovski jewelry, barbour jackets uk, pandora charms, canada goose pas cher, louis vuitton uk, ugg uk, converse, moncler, louis vuitton, supra shoes, moncler, swarovski uk, pandora jewelry, lancel, canada goose, sac louis vuitton, marc jacobs, wedding dresses uk, juicy couture outlet, moncler, karen millen uk, toms shoes, ugg,ugg australia,ugg italia, moncler jackets, doke & gabbana, canada goose uk, canada goose jackets, canada goose outlet, sac louis vuitton, ugg pas cher, louis vuitton, pandora jewelry, gucci, coach outlet, moncler pas cher, bottes ugg pas cher, converse shoes outlet, canada goose outlet, moncler uk, ugg,uggs,uggs canada, hollister, montre pas cher, vans scarpe, ray ban, juicy couture outlet, replica watches, links of london uk, canada goose, nike air max, moncler

9:55 AM  
Blogger soma taha said...

I like it when people come together and share ideas.
http://caravank.com/factory/
http://caravank.com/for-sale-in-riyadh/
http://caravank.com/withdrawn-for-sale/
http://caravank.com/withdrawal-rooms/
http://caravank.com/us-for-sale/
http://caravank.com/car-caravan/
http://caravank.com/for-sale-in-jeddah/

2:41 AM  

Post a Comment

Subscribe to Post Comments [Atom]

<< Home