What does this mean? MNCs will either need to eat the cost or pass the cost down to consumers. Or they can simply move their business across the causeway or even to China. Many MNCs in Singapore are at the brink of moving their business out of Singapore already. This could be the final straw for them to pull the trigger and make that move.

For some reason, I think this is just “talk”, and nothing will happen. It is just to complex to make it happen financially and logistically. Think about it. The transport companies are already privatized. How would the government decide how to reimburse these private entities? How would free transport work? Will ticketing go away? If that goes away, how do the transport companies collect statistics and figure out transport frequencies, peak periods, where people are going to, etc? Without statistics, you can’t optimize the system. I don’t know how the system works in the other country. I guess you really need to think out of the box to make it work.

I guess most of our sore points with the government is that they keep boasting about this surplus money we have in billions, but instead of “giving the money back to the people”, we end up paying for projects and they end up keeping the profits and continue to boast about more surplus. I think we already have enough surplus for free transportation. Why is there a need to raise GST by another 1.5%? They just need to find a way to cut costs (eg, exorbitant pay).

This is a good topic to debate on.

I believe many readers are clouded by emotion and hence miss the essence of your article. Nevertheless, there will be many others who do ‘get it’ too, so don’t be discouraged, cheers!

That said, with the current level of GST, or probably 10% GST which I predict will be the case in a couple of years time (maybe after the next general election?), we still won’t get public transport.

xtrocious: “I hate to say this but this suggestion reeks of the typical mentality of a Singapore student – only can think inside the box”

At82: Pls back up your claim…

xtrocious: “You mean you will forever only spend less than S$10k/year?”

At82: You mean many S’porean can spend say, S$60k/yr?? Which means the increase in GST will work to be an extra S$900/yr or S$75/month? S$75 per month seem for free public transport seem like a great deal to me.

xtrocious: “GST is a progressive tax – the more you spend, the more you pay…

The next time you buy a car, buy a house and even a LCD TV, tell me if you will feel the pinch of an extra 1.5%?”

At82: Well, at least I know the $ will go to somewhere that will contribute to the society and not be used to buying some failing banks. So why not?

“Ask your parents if they will thank you for the higher GST or not?”

at82: What makes you think they won’t when they found out the they are effectively going to pay less than S$75/month for unlimited public transport?

“And what guarantee is there that they won’t abolish the scheme after a couple of years but keep GST at those lofty levels because they deem it too “inconvenient” to rejig all the cash registers etc etc”

at82: And what makes you think that they won’t just do it anyway even there is no free public transport?

“Singapore also has a very big base of migrant workers (including “foreign talent”)…do we also want to pay for their “free” transport as well?”

at82: Why can’t the govt just issue concession card for unlimited rides only to pink ic holders…? It can be made as a card with Photo id and IC no. and even thumbprint if deemed necessary… I wonder who is not thinking out of the box….

(Sorry couldn’t find anything more recent)

In 1995, total tourist shopping expenditure* was 3.047 *billion* (Page 1). That’s just tourist spending in the retail sector. Locals aren’t even in the picture yet. assuming half of them file for tax rebates on significant purchases, that’s about 1.5 billion in taxable spending.

1.5% of that gives you 22.5 million… pretty sizable if you ask me.

And again, this is by tourists. Half of them. In 1995.

I am not sure what he meant by that. If it means just the operating costs, then a 1.5% GST hike would NOT subsidise free transport. Because the transport providers would need capital.

Look at this article about a similar system in a Belgium city, where people have to pay 21% tax on goods and services to enjoy free transport. As the writer points out, if it’s such a good idea, there will be far more than just 1 city with such a system: http://anonymousxwrites.blogspot.com/2008/12/free-public-transport-singapore-zal.html

Ok, given that you aren’t actually calling for the implementation of this scheme, my point to you now would be that the statement may not be entirely untrue.

Not only individuals pay GST. Many corporate entities will end up bearing the burden of this perk. So as I see it, your argument that the minister is bullshitting only holds if *every* tax-paying entity spends < 10K like you.

leo guessed correctly what my intent was – the point is about the statements that public officers make – if a minister makes such a statement, he/she should be able to stand by it.

They have the responsibility to convey accurate and valid information to Singaporeans, and if they are just making unqualified illustrations, they should make it clear to avoid misunderstanding.

Truthfully, i really really do not mind tat at all.

I’m not joking. lol