The issue of raising taxes in Singapore due to growing government spending on investments and social services has surfaced in the news again. Specifically Income Tax and GST. I always get into an internal conflict with myself when I start to think about where I stand on it.

Singapore’s Income Tax Rates is progressive, which means high income earners pay a proportionately higher tax. But with the highest income tax rate at 22%, it’s lower than other developed countries. Same goes for the GST at 7%, which is comparatively lower than other developed countries. Having lived and worked in Australia for a number of years, I can safely say the low tax rates here in Singapore is one of the biggest draws of working here.

The gross salary may be lower but your net take home salary can be higher even after accounting for mandatory retirement contributions and income taxes. This is more likely to be …