CPF

[Temperament]

We are effectively paying a minimum tax of 36% on top of our income tax... but our social benefits pale in comparison to other countries with similar level of taxes.

It's also funny that contribution is capped at 5,000. So the people below averaged are effectively "taxed" more than the one above the average income bracket... So much for income redistribution.

Going by the logic of self sufficiency, CPF contribution should not have a cap. Living expectations varies pretty much according to income level... so 1.2k/mth may be sufficient to a typical singaporean worker. Same may not be sufficient to someone who have been earning 10k/mth or in the case of our leaders, 8k/day

I would agree with piggo.

Consider this. The low returns of the cpf and stagnating wages of low income groups, in addition to the emphasis on self sufficiency (i.e. lack of social safety net), pushes up the savings rate of singaporeans significantly. The savings are then channeled to feed investments.

However, this is also a huge implicit tax on the masses because effectively wealth is transferred from the savers to the investors. Through this implicit tax, the masses have contributed to nation building but enjoyed a less than proportionate share of increase in wealth. In the past the rising tide lifted all boats and everybody was happy. Now that the cost of living has caught up, isn't it right to give something back?

Apart from reforms in the CPF, I like to see more wealth taxes. The reestablishment of estate tax would be a nice start (not likely since theres so much vested interests. can already see a lot of people shivering in their pants.)

i think Malaysia and HK. have no estate tax for a longtime before Singapore relented to join them. i remember Pinky or someone in the G said estate tax still yielded quite a sum for the G's coffer.
But Singapore wants to be one of the "Financial Centres "of the world, so is estate tax holding the Richs of the world to park their money here? Out goes estate tax lol!

The latest happening is Singapore wants to be one of the GOLD TRADING Centre of the World, so Goh Say Tax has been removed from trading of gold. Is it still only in gold bars and not gold jewellery?
Out goes GST on GOLD TRADING lol!

But unlike HK's duty free on wine, Singapore has increased the duty on wine, liquor and beer.

Do you know how much a local can of 323 cc Tiger Beer cost now in NTUC. Super-mart? $2.90.
Poor local man-in-street how to have the "Give The Man A Tiger" moment now?
It has become a "Luxury item too", only for the better off.
i bet the duty on WINE, LIQUOR or at least for BEER will come down soon.
Why?
Our G has lost touch with the common people ability to pay lah. imho.