Minister Heng Swee Keat announced today in his Budget speech that the government will continue to absorb GST on publicly subsidised healthcare and education.
The government will be launching a new S$6 billion Assurance Package when the GST rate is raised.
Majority of Singaporean households will receive offsets to cover at least five years worth of additional GST expenses incurred.
Those living in 1- to 3-room HDB flats will receive offsets equivalent to about 10 years worth of additional GST expenses incurred.
For example, a family of four with a combined income of S$6,000 living in a 4-room HDB flat can receive in total about S$7,000 in offsets over five years. This includes cash of about S$4,000.
According to Mr Heng, the government will be enhancing the permanent GST Voucher scheme.
It will fully offset the GST for the lower half of retiree households and significantly offset the GST for the upper half of retiree households.
For lower-income households with no elderly persons, the government will offset about half of the GST.
Featured Image Credit: Gov.sg
