Forum Replies
Direct Nursing Home Subsidies Offer More Targeted Help than GST waivers
30 January 2012
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I refer to Ms Lilian Chan’s letter “Why are patients of nursing homes charged GST?” (TODAY, Jan 25).
The Government provides significant subsidies of up to 75 per cent to make nursing homes affordable to the low and middle income groups.
Our approach of directly helping these patients through subsidies is more targeted than waiving GST for all patients in nursing homes, which may include the well-to-do. It is also fairer to the lower income, who may be using nursing homes that are not run by charities. We will nevertheless take into account Ms Chan’s suggestion when we review the affordability of nursing homes.
LIM BEE KHIM (MS)
DIRECTOR (CORPORATE COMMUNICATIONS)
MINISTRY OF FINANCE