Allotment of GST Credits for Three-Room Flats21 Mar 2009
We refer to the letter, "Corner unit three-room flat get $50 less GST Credits" (LHWB, 4 March 2009). The writer felt that it was unfair for him to receive a lower allotment of GST Credits than his neighbours as he lives in the same three-room flat type (but a corner unit) and also earns a lower income.
The allotment of GST Credits is based on two criteria: the individual?s Assessable Income (AI) and the Annual Value (AV) of his property. These two criteria together provide a simple and practical way to distribute GST Credits to 2.4 million Singaporeans, while allocating more to those who are less well-off.
In this case, the AV of the writer's three-room flat had not yet been determined before the payout. In such cases, the individual concerned will be allotted provisional GST Credits. Once the AV of the property has been determined and if the individual is eligible for a higher payout, he will subsequently be given the additional payment.
MR CHIN SAU HO
DIRECTOR (CORPORATE COMMUNICATIONS AND SERVICES)
MINISTRY OF FINANCE