Iras nets record tax revenue of $43.4 billion

[richardg]

Maybe thats why votes went up?
===

The taxman raked in record tax revenue in the last financial year as both individuals and companies earned more in a stable economy.

Total tax collected for the year to March 31 climbed to an all-time high of $43.4 billion, according to the Inland Revenue Authority of Singapore's (Iras) latest annual report out yesterday.

It was 4.4 per cent higher than the $41.6 billion collected in the previous financial year.

This was in line with the economic showing as Singapore grew about 3 per cent and the global economy hummed along, said DBS Bank senior economist Irvin Seah.

Income tax, which formed the bulk of Iras' collection, rose 8.8 per cent to $23.4 billion for the year.

Corporate income tax collection rose 5.4 per cent to $13.4 billion while individual income tax collection rose 16 per cent to $8.9 billion.

Withholding tax came up to $1.1 billion. As a gauge of earnings, listed companies generally grew their earnings last year, thanks to modest economic growth, easy monetary conditions and a stable financial market, said Fund supermart research and content manager Ho Song Hui.

"The strongest earnings growth was seen in the financials sector last year... driven by the three local banks, select property-related companies and real estate investment trusts."

When it comes to individuals, Singapore is still running at full employment, so overall increases in salary costs contributed to the higher earnings of individuals, said KPMG head of tax Tay Hong Beng.

Moderate growth in private consumption spending also drove a 7.4 per cent rise in goods and services tax collection to $10.2 billion, Iras said.

"Sin" taxes also boosted revenue as betting revenue rose 8.9 per cent to $2.6 billion, following the upward revision of betting duty rates from July last year.

But property cooling measures again hit stamp duty collection, which fell 29.2 per cent to $2.8 billion on fewer property sales.

More joined the millionaires' club last year, with the number of those earning assessable income above $1 million rising 7.7 per cent to 4,557.

Their combined assessable income came to $8.63 billion and they paid about $1.6 billion in income tax. A further 14,757 people had an assessed income of $500,000 to $1 million each, up from 13,714 the previous year.

There could be less robust growth in tax collection this year, however, with economic growth expected to be significantly slower, owing to a medley of uncertainties - deceleration in China, slower-than-anticipated growth in the United States and a continued placid outlook for the euro zone, said DBS' Mr Seah.

"This year's company earnings performance is unlikely to be as good as last year's, and this could have a knock-on impact on personal income growth."

Tax arrears stayed low at 0.81 per cent of total net tax assessed, up a little from 0.77 per cent previously.
- See more at: http://news.asiaone.com/news/singapo....unzPS4eY.dpuf

[Ong88]

So many lousy financial advisers huh

[byfun]

Levy alone for foreign workers rake in just as much for the government.

Spass and Work Permit paying levy of $350-1000 depending on the tier. If average of just $500 per head x 500,000 foreign workers a month this is $3 billion a year just on levies. Next year Jul increasing another $100 per headcount. That will help rake in another $60m a year at least.

[KAO LUO]

yes Levy big earn .........my guess no 1 income from Levy. got no out ,,,,,,,,, that why they thinking CPF SLOW payy back to us

[Beerman]

Originally Posted by byfun

Levy alone for foreign workers rake in just as much for the government.

Spass and Work Permit paying levy of $350-1000 depending on the tier. If average of just $500 per head x 500,000 foreign workers a month this is $3 billion a year just on levies. Next year Jul increasing another $100 per headcount. That will help rake in another $60m a year at least.

Totallyagreed!

[farish]

Originally Posted by byfun

Levy alone for foreign workers rake in just as much for the government.

Spass and Work Permit paying levy of $350-1000 depending on the tier. If average of just $500 per head x 500,000 foreign workers a month this is $3 billion a year just on levies. Next year Jul increasing another $100 per headcount. That will help rake in another $60m a year at least.

This one administered by MOM not iras

[KAO LUO]

Originally Posted by farish

This one administered by MOM not iras

yes , ja buay liao lor .. this

[foxwagon]

If anyone of you just purchased a HDB resale flat this year, you may wish to check your property tax amount.

I purchased a HDB resale flat this year, at HDB Hub the HDB officer instructed me to pay to the Seller for the balance of the property tax from the date of the HDB 2nd appointment to the end of the year. This being IRAS had already collected the property tax from the Seller for the whole year.

When I received the IRAS property tax assessment, the amount that I paid to the Seller as property tax was not off set in the IRAS property tax assessment. In addition, in IRAS computation of the property tax, it calculated the whole year, including the earlier period of this year which I havent bought over the flat yet.

Effectively IRAS collected property tax over the same flat twice over the same year. Once from the Seller, another from me. & because I had to pay the Seller (at HDB Hub) the remaining property tax to the end of this year, I paid this portion twice. Once to the Seller, another to IRAS.

According to IRAS rules, one had to pay first then substantiate the dispute. Then its up to IRAS to refund or not. When I enquired with IRAS, IRAS stated that HDB was correct and told me to seek clarification with HDB instead.

[foxwagon]

One more thing to add, if you had agreed to let the Seller stay beyond the 2nd HDB appointment date and got it approved by HDB.

IRAS will tax 3 months as non-owner occupied tax rates (like rented out) even if you let the Seller stayed shorter than 3 months. So you need to inform IRAS when the Seller actually moved out & gave you the keys.

[byfun]

Originally Posted by farish

This one administered by MOM not iras

End of day all go into gov coffers.... same as coe or property tax.