It is good that Budget 2022 has made Singapore's tax system more progressive to address inequality (Tax hikes for top earners, high-end homes will reduce social inequality: Analysts, Feb 19).
However, we should be careful that the wealthy do not find the system too punitive.
The top earners are the most mobile; if they feel that the system is unfairly targeting them, it is easy for them to move somewhere else with a more favourable tax regime.
Wealthy foreigners thinking of moving to Singapore would also take this into consideration.
Many of the rich have made donations and contributions to help the less wealthy here over the years. The rich could be co-opted to help design and fund programmes that help the lower-income group.
Getting their buy-in would likely achieve more goodwill and results than a tax hike alone.
Agnes Sng Hwee Lee