| 2.54 Our personal income tax
rates are already lower than those in most other
countries. The top rate is 21%, reducing to 20%
from Year of Assessment 2007. As announced in
my Budget Statement last year, the marginal tax
rates for the other income brackets will also
be reduced, so that all taxpayers will benefit.
2.55 Besides lowering the rates, we have made
significant changes in our personal income tax
system to attract talent. In Budget 2002, I accepted
the Economic Review Committee’s recommendation
to create a new class of taxpayers called the
“Not-Ordinarily Resident” taxpayers.
The response has been encouraging. Over 2002 and
2003, there were 2,800 successful applicants for
NOR status. We will review the scheme periodically
to ensure that it remains effective.
|
