ALL eyes are on the upcoming Budget to be unveiled in less than three weeks, but opinion remains divided on whether the Government should focus on immediate relief measures or take a longer-term view with structural changes.

At least one tax expert is advising a 'quick-fix' Budget, given the pressing needs of a recessionary environment.

'A quick-fix package rather than structural or long-term measures is what is needed to help ease the tension in this rising storm,' said PricewaterhouseCoopers (PwC) head of corporate tax Paula Eastwood.

'Businesses need cash more now than ever before and Singapore could differentiate itself by introducing bold fiscal measures to boost investments and increase market liquidity.'

Some 'quick-fix' measures PwC recommends for businesses include allowing businesses to 'carry back' losses to offset against the taxable income for previous years, so as to reduce the amount of tax they have to pay.

For individuals, speedy relief could come in the form of one-off income tax rebates or a scheme to defer income tax payments for those who have been retrenched.

But Mr Ajit Prabhu, tax partner at Deloitte Singapore and South-east Asia, believes there should be an 'equal focus' on both one-off measures to cushion the impact of a downturn as well as long-term measures aimed at maintaining the competitiveness of Singapore's tax system.

Even as it raises spending, Singapore should also lower taxes, to keep pace with other governments around the world that are doing the same, he said.