$3 Billion In Benefits To Be Given Out To 2.4 Million Singaporeans In 2008

Three billion dollars in benefits will be given out to Singaporeans in 2008. The benefits are part of the $1.8 billion of surplus sharing (including $865 million of Growth Dividends) announced in the 2008 Budget Statement, and other measures such as the GST Offset Package that were announced in the 2007 Budget.

Singaporeans Who Signed Up For GST Credits In 2007 Will Automatically Receive Their GST Credits and Growth Dividends In 2008

2. Singaporeans will receive letters from the CPF Board by 15th April 2008, informing them of the amount of Growth Dividends, GST Credits and Senior Citizens' Bonus they are eligible to receive in 2008. Singaporeans who signed up for their GST Credits in 2007 do not need to sign up to receive their payouts. They will automatically receive the following:

a. First installment of Growth Dividends - 30 April 2008.
b. 2008 payout of GST Credits and Senior Citizens' Bonus - 1 July 2008.
c. Second installment of Growth Dividends - 1 October 2008.

3. Those who did not sign up for their GST Credits in 2007 and those who newly qualify for GST Credits in 2008 (123,000 in total), can sign up for their 2008 payouts from 15 April 2008. They have until 31 December 2008 to do so. They can sign-up on-line at www.gstoffset.gov.sg or through hardcopy forms available at Community Centres/Clubs, Community Development Councils and CPF Service Centres.

4. Singaporeans who wish to donate their payments can do so at www.gstoffset.gov.sg from 15 April 2008 using either their SingPass or the one-time PIN (enclosed in the letter they will receive from the CPF Board).

Benefits Will Help Households Cope With Increase In The Cost Of Living

5. On top of the GST Credits, Senior Citizens' Bonus and Growth Dividends, Singaporeans will also receive top-ups to their Medisave and Post-Secondary Education Accounts (PSEA), Income Tax Rebates, Property Tax Rebates and Utilities-Save (U-Save), Service & Conservancy Charges (S&CC) and Rental Rebates. All these benefits will help Singaporean households, especially the lower income, cope with the recent increase in costs of living.

6. For example, a low-income family living in a 3-room HDB flat could receive benefits of about $4,900, which is about 6 times the estimated increase in their cost of living (see Annex A). A typical family of 5 living in a 5-room HDB flat could receive benefits of about $4,800, or more than 2 times the estimated increase in their living costs (see Annex B).

7. Singaporeans who need additional help can approach their Community Development Councils or Family Service Centres, or their grassroots leaders. Grassroots leaders administer the Citizens Consultative Committee ComCare Fund, which enables them to provide immediate assistance to needy families in financial difficulties. Singaporeans who need help can also call the ComCare Call helpline at 1800 - 222 0000.

8. For further information, please visit www.gstoffset.gov.sg or www.mof.gov.sg or call 1800-2222-888.

MINISTRY OF FINANCE