In Budget 2018, Deputy Prime Minister Heng Swee Keat announced the extension of GST to imported services from 1 January 2020.
He shared that the Government would be reviewing international developments on how GST can be applied on imported goods.
Mr Heng said that low-value goods imported via air or post are currently not subject to GST to facilitate clearance at the border. In contrast, GST is paid on such goods bought in Singapore.
He added that several jurisdictions, including Australia, New Zealand and the European Union, have implemented or announced plans to implement the equivalent of GST on such goods.
With that, he announced that he will be extending the GST to imported low-value goods with effect from 1 January 2023.
This change, together with the change announced in Budget 2018, will ensure a level playing field for local businesses to compete effectively, he said.
Overseas suppliers of goods and services will be subject to the same GST treatment as local suppliers and the Inland Revenue Authority of Singapore will continue to work with the industry to ensure smooth implementation for the change.
Featured Image Credit: Dollars and Sense
The post Budget 2021: GST Will Be Extended To Imported Low-Value Goods From January 2023 appeared first on Vulcan Post.