According to a recent survey, Singaporeans are not in favour of higher taxes in order to support and care for their ageing population. It is said that the citizens would prefer the nation to tap its national reserves in order to manage future social spending increases.
Moreover, Singapore has some of the lowest tax rates in the world but government officials have initiated the requirement for higher taxes to support future infrastructure and social spending needs. The analysts said that the amendments may be disclosed as soon as Monday the 19th February budget.
However, in a different survey carried out by the Institure of Policy Studies, 40% of 2,000 respondents would not be comfortable paying for higher social spending on the elderly through higher levels of taxation rather than tapping on the national reserves. The remaining 34% said that they would be comfortable and 26% were neutral.