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Jan 10, 2008

Another burden on taxpayers

ALTHOUGH it seems like a new term, means testing is already used by the Government in a few sectors. Our differentiated scale for income tax is a form of means testing used for many years. It is only right that citizens with higher income pay more in taxes and contribute to state coffers to operate the Government and civil service. With the introduction of GST, about 70 per cent do not have to pay taxes, with the tax burden on the shoulders of the remaining 30 per cent.

Public housing also uses means testing. With an income ceiling set for HDB eligibility, higher income earners will not get the benefits of state subsidised housing. With about 70 to 80 per cent of Singaporeans living in HDB flats, again the minority 20 to 30 per cent of tax-paying citizens do not enjoy the state subsidy for housing.

Thus, means testing for public health care is another punishment for the minority of tax-paying citizens. It appears we are treated as second class citizens devoid of any state benefits.

Having collected taxes to operate its various services, shouldn't the Government treat all citizens equally and fairly and not discriminate against anyone based on income level? Is the differentiated income tax scale enough or must a minority of citizens be penalised again?

Dr Tan Hong Pew