The Low Down on Singapore Taxes

What is to be done on a hot Sunday afternoon where life is like living out a sci-fi movie - everything is being baked under the hot sun and threatening to explode into a culmination of light and heat waves.

Read the Singapore Personal Income Tax Guide! That's what.....It doesn't get more epic than this. :D

I'm pleased to report that the personal income tax rates in Singapore is noted to be one of the lowest in the world. (My Australian co-worker kindly alerts me that even if Singapore has one of the lowest personal income tax rates in the world, we should not forget that we also have a combination of other taxes and expenses to contend with. I painfully regard the price of COE and accept his comment).

Back to basics....and to summarize what could be a rather complicated process, one is to look at it in 3 steps: Determining which tax residency status you belong to, determine the chargeable income for the tax year and then applying the progressive tax rate against the chargeable income.

1. Status of Tax Residency
Divided into into 2 categories.
a) As a Singapore tax resident

• Singaporean
• Singapore Permanent Resident and have established your permanent home in Singapore
• A foreigner who has stayed or worked in Singapore for 183 days or more in the tax year

b) As a Singapore non tax resident

• A foreigner who stayed or worked in Singapore for less than  183 days in the tax year. 

2. Determine chargeable income

Chargeable Income = Total Income - Expenses - Donations - Personal Relief

3. Personal Income Tax Rates for Singapore tax resident

For more information, please refer to: http://www.guidemesingapore.com/taxation/topics/singapore-tax-rates

Note: They even have a very helpful online tax calculator.

My 2 cents worth on Singapore Ministerial Salaries

TADA!!!

Come on ....You knew this post would be inevitable.... I simply cannot resist. :D

However, I have great news for you. I won't be putting forward a detailed post for 2 reasons:

1. I haven't had a chance to review the proposed changes in any detail except for the very summarized newspaper article that I saw on My Paper....(Yes....我报...:D), so I acknowledge that any comments from me now speaking on specifics of the recommendation would not be as informed as I would like.

2. I chanced upon Siew Kum Hong's blog post (and despite my earlier admittance in point 1 to be rather ignorant about the full recommendations formed by the committee), I do have my preliminary assessment and I feel that SKH has so perfectly articulated my sentiments, if not the general "feel" from the ground. 

Therefore, with the above disclaimer in mind, please proceed at your own peril.

To summarize, I'm very appreciative that most of our leaders have very graciously stepped out to openly accept the recommendations or have opted to respect the general population and adopt silent acceptance. (but as Grace Fu has kindly demonstrated, there are always exceptions) 

My personal view is that the pay cut is quite significant so it must hurt in one way or another. In the first place, no one ever complains that money is too much or enough, right? Don't believe me? Ask Jack Neo. 

However, with that said, in spite of the pay cut, dear leaders....you do know that you are still being paid a shit-load of money, don't you? As I know it, even with the pay cut, our leaders remain the highest paid group of politicians IN THE WORLD and really...your income is still *fill in your preferred curse words* obscene compared to the average Singaporean. Please forgive me if I fail to sympathise with your "predicament". 

(And yes I know that Grace Fu is taking alot of flake from netizens over her facebook post but to the likes of Grace "I'm so misunderstood" Fu, if you are not happy, go back to the private sector. No one is stopping you.)

Now that I've gotten that off my chest. Let me continue....:D

In conclusion, yes. While the change in formula to determine the ministerial salary has indeed tipped the scale "oh-so-very slightly" back from EXTREMELY OUTRAGEOUS towards just being plain OUTRAGEOUS, I believe that the general consensus of the masses is that these changes have not  fully addressed the problem. True enough, there will always be that group of people who will never be satisfied no matter what you do but as Siew Kum Hong explains in his post, I believe in this case, there are valid reasons to explain why this problem will not simply be swept under the carpet.

Singapore's rights subpar, says IBA

Recently, there has been alot of coverage in terms of China's poor record in human rights especially with regards to Tibet. Anyone following the Olympic fire would be aware of the huge amount of protests going on.

Before we step up and point the finger at China, do note that according to International Bar Association's Human Rights Institute (IBA), they have reported that despite Singapore's impressive economic development that Singapore fails to meet international standards for political and human rights and there are concerns on the independence of its judiciary. The rights institute also issued 18 recommendations for the Singapore govt to implement urgently. For more information on this article, please refer to: http://www.taipeitimes.com/News/world/archives/2008/07/10/2003417005

To find out more that Singaporeans have to say this, check this out:
http://theonlinecitizen.com/2008/07/is-mm-lee-playing-the-same-old-record/

Back in Taipei..another prisonbreak article

Returned to Taipei yesterday evening and am back in my little shoebox apartment after a fruitful day at work. After having spent 2 weeks in Singapore, there is little doubt that I have tons of work to catch up on and was kept so busy that when I finally caught a breather, it was already 8pm and my colleagues had all left the office. Well, not that I'm complaining, I would rather be busy than bored out of my wits at work (Bro, I'm sure you agree with me after your intern-"shit" experience :) ).

Needless to say, I'm often tasked with the duty to lock up the office since I'm always the last one out. I do it so consistently that I personally feel that 20% of my performance evaluation should be office security and lock-up. Hehe. :P

Talking about lock-up or break-outs for that matter. During dinner today, I was happily reading my latest copy of newsweek and on page 24, sandwiched between articles of the Sichuan earthquake and terrorist bombings in New Dehli, is an article covering Singapore entitled:"Gone in 11 Minutes Flat".

With all the nasty news going on in the world today, its very rare to see Singapore pop up in an article under the World Affairs section. But OH YES, there it was on page 24 of the May26/June 2 2008 special double issue. I sat up to read more and as suspected it was regarding the escape of Mas Selamat Kastari - reputed head of the Singapore cell of Jemaah Islamiah (JI is a notorious Southeast Asian terrorist group linked to Al Qaeda. )

In late Feb, Mas Selamat had broken out of a detention facility and became Singapore's most wanted man. As a Singaporean, I admit that I was initially in disbelief and frankly a little traumatised when I first heard the news on the escape. As a MAJOR Prisonbreak fan (Fox Series)....suddenly, prisonbreak held a total different meaning for me. (Hint: Compare Wentworth Miller versus Mas Selamat's picture...I'm sure you will understand)

Interpol - Mas Selamat Kastari

Prisonbreak - Wentworth Miller

Anyway, the article goes on to describe that "the episode is revealing shortcomings in Singapore's nanny state.....Singapore does an excellent job mobilizing its resources and directing them at recognized problems. But there are few external or independent checks on the system - and this lack of scrutiny, combined with the government's generally successful record, has produced blind spots. Past circumstances have made it easy to become smug. But this smugness has proved dangerous."

I didn't know whether to laugh or cry when I read this - "when the guards started to wonder why Mas Selamat was taking so long in the toilet, rather than act immediately, they went to their superiors for permission to open the bathroom stall door".

For me, the moment of truth was in the later part of the article describing the actions taken after the fact. As follows - "the authorities took five days to tell the public what the terrorist was wearing at the time of his escape. And only a few days after that did they bother to inform citizens that the fugitive also limps on his left leg. "

I love my country but I think this is a good wake up call for us all.

Water Spout spotted in Sunny Singapore

Okay, if you live in Singapore, you would find the landscape in the following photos very familiar. Yes, its a picture overlooking at our world class port and hold on a moment....what's that scary thing in the background.....The following pictures are not hoax, or doctored....

The above that you see are water spouts.

Water spouts are rotating columns of air similar in appearance to that of the tornado. They develop over warm ocean currents during unstable conditions or as cold front boundaries pass over the ocean. These are not very dangerous but can affect boats and yachts. Because they are over the ocean, they do not pick up debri but water spray is observed at the base.
Water spouts can develop over the ocean and move over the land. They are then called tornadoes. It is here where water spouts can be dangerous and has caused extensive damage to trees and buildings as well as over turn caravans in coastal communities. Once on the land, they dissipate fairly quickly. On the ocean however, they can last much longer.
Sometimes, tornadoes form over the land and pass over a lake or the ocean. These are then called water spouts despite the difference in the formation processes and dynamics.

Wow...

Dependents Protection Scheme - Singaporeans and PR only.

I'm covered but for quite some time I had no idea what I'm covered for......:)

So I did some reading and would like to share what I have learnt for all you clueless CPF contributers out there.

What is Dependents' Protection Scheme (DPS)?
It is a term-life insurance scheme (which means you don't get any money when your insurance ends but its okay because the premiums for term life are lower than for endowment) covering CPF members:
a) Singapore citizens or permanent residents
b) between 16 and 59 years old at entry
c) for a sum of $46,000 up to age 60.

It covers DEATH and PERMANENT INCAPACITY.

About premium payment and premium amount
Paid yearly from CPF Ordinary Account or Special Account. (and its auto renewed so you don't need to worry about it. Unless of course, you don't have enough money in which you can pay the difference in cash or be insured for a lower amount. Note: Check your annual CPF statement for more information)

Yearly premium is based on age range (male and female) as follows:
34 and below: $36
35-39:$48
40-44:$84
45-49:$144
50-54:$228
55-59: $260

For more information: http://mycpf.cpf.gov.sg/CPF/my-cpf/get-mar/GM2.htm

Dick Lee - Chotto Matte Kudasai. Hilarious!

Surprise surprise......Singapore becoming a more "open-minded" society?

I read this on the news 3 mins ago. Surprise surprise! First, in 2006, they decriminalize oral and anal sex by a consenting heterosexual couple aged 16 years and above and now this bold statement from MM Lee.....are we truly becoming a more "open-minded" society?

Former PM hits out at Singapore gay sex ban
Singapore April 24,

SINGAPORE'S powerful former prime minister, Lee Kuan Yew, has questioned the city-state's ban on sex between men.

"If in fact it is true, and I have asked doctors this, that you are genetically born a homosexual … you can't help it, so why should we criminalise it?" the pro-Government daily Straits Times quoted Mr Lee as saying. [Jamie: Oh - I didn't know that you are genetically born a homosexual]

Under Singapore law, a man who is found to have committed an act of "gross indecency" with another man can be jailed for up to two years, though prosecutions are rare.

But Mr Lee, who remains the most powerful minister in the cabinet of his son, Prime Minister Lee Hsien Loong, said Singapore should not pursue homosexuals who engage in sex. [Jamie: Doesn't the police have something better to do with their time?]

"Let's not go around like this moral police … barging into people's rooms. That's not our business," [Jamie: Unlike a certain other country we know. And I agree that it is truly none of anyone's business except the persons' involved] he told a weekend meeting with the youth wing of the People's Action Party.

Authorities have banned gay festivals and censored gay films, saying homosexuality should not be advocated as a lifestyle. [Jamie: Can homosexuality truly be advocated as a lifestyle?I chuckled when I read this]

But despite the official ban on gay sex, Singapore still has a thriving gay scene.
[Jamie: Duh.....*speechless*]

REUTERS

Singapore PM to earn 5 times more than Bush

SINGAPORE, APR 9: Singapore’s Prime Minister, Lee Hsien Loong, will earn five times more than US President George Bush this year after a pay hike on Monday boosted his annual salary to S$3.1 million ($2.05 million). A minister told Parliament on Monday that other Singapore government ministers- who are already among the best paid in the world - will also see their salaries jump by about 60% to an average of S$1.9 million ($1.26 million).
“For the public service to remain an attractive employer, our terms must keep pace with the private sector,” defence minister Teo Chee Hean, who is also minister in charge of the civil service, said in Parliament. The ministerial salary increase - which will take effect in two steps by the end of next year - is slightly smaller than the government had originally proposed. Lee said last month the salaries of Singapore ministers and top civil servants might have to rise by as much as S$1 million ($660,000) to S$2.2 million ($1.45 million) because they had fallen way below benchmark top salaries in the private sector. Lee’s announcement sparked an outcry, with hundreds of Singaporeans signing an online petition and writing to newspapers to protest against the move.

Some Singaporeans said the ministerial salaries did not reflect the country’s economy or the government’s performance, adding that the government was tactless to raise ministers’ salaries now given Singapore’s widening income gap.

http://www.financialexpress.com/fe_full_story.php?content_id=160649

[From Jamie: I haven't been following the newspaper for several weeks (simply not enough time/energy!) and I chanced upon this article while reading China Daily in Shanghai. I'm a little embarrassed to say that I was SHOCKED. I always knew that the Singapore ministers were earning one of the highest public sector wages in the world but to have this headline staring back in my face was just unbelievable.

What ever happened to the noble ideology of people working in the government because they wanted to serve the country. As it is, the Singapore ministers aren't exactly being paid peanuts..... a fine example of the rich and powerful becoming even more rich and powerful. Going on a pay rise right after the decision to increase GST 5% to 7% is down right insane. ]

OLE OLE OLE....Singapore is ASEAN CUP 2007 champions!!

I don't like soccer much....

But the patriotic me was glued to the telly when the Asean Cup was playing.. Singapore versus Thailand. There were 2 matches played.

On 31st Jan, the first game was played in the Singapore National Stadium. The score was initially tied at 1-1 and at second half the MALAYSIAN referee called for a penalty against the Thais near the goal post. The unhappy Thais walked off the pitch in protest and had to be persuaded to return to the field. Despite the chaos, the referee stuck his grounds and Singapore scored a penalty shot by Mustafic Fahrudin ending the game at 2-1.

On 4th Feb, the second game was played in Bangkok and although Singapore managed a goal in the first half, it was declared offside and void. The Thais were leading 1-0 towards the second half. 8 mins to the end of the game, Amir from Singapore scored a one-man show superb goal, crowning Singapore as the 2007 Asean Cup champions.

Ole Ole Ole...Ole....Ole.....

Singapore is 2007 Asean Cup Champions!!

I still don't like soccer much..................and actually I'll admit that I think that the Lions were super "heng" (lucky) this time round. As far as I could see, the Thai team was the stronger team. But never mind, "heng" is also a skill by itself. :)

However, granted that the Thais, for many various reasons, were really hungry for the championship, I still think they could have behaved better on the pitch.

All in all, the end result is that the Lions are crowned re-champions for Asean cup 2007.

Hip HIP HOOORAYYY!!!!