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Survey reports that Singapore taxes are one of the lowest compared to other countries 241110
by Carolyn Zheng on Nov 24, 2010
Singapore taxes support economic growth and that is by design. Whereas some countries use taxes merely as a way to collect revenue for government operations, Singapore has chosen to use taxes as a business incentive tool. The country has been so successful at managing its use of tax funds and attracting new business that taxes did not have to be raised during the recent economic crisis. Singapore boasts a large foreign reserves fund and its economic boom is testament to its successful management of money.
Contrast Singapore with the European Union or the United States. Around the world, countries are dealing with growing budget deficits requiring high rates of borrowing. This is forcing many countries to implement austerity measures coupled with higher taxes to bring deficits down. Because Singapore taxes have not only been kept low, but have been declining, business growth was promoted. There is no need for austerity measures in Singapore.
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