Reviewing GST Voucher Eligibility Framework to Reflect Current Economic Conditions

Mr Sharael Taha asked the Prime Minister and Minister for Finance whether the Government will review the GST Voucher eligibility framework by (i) updating the annual assessable income threshold of $39,000 to better reflect current economic conditions (ii) taking household size into account when determining eligibility and (iii) replacing the current cliff effect with a tapered reduction in benefits as income increases.

Mr Jeffrey Siow: The Government periodically reviews the GST Voucher scheme to ensure that it continues to provide meaningful support to lower- and middle- income Singaporeans. Most recently, we raised the Assessable Income threshold for the GST Voucher-Cash scheme from $34,000 to $39,000 to keep pace with rising incomes.

The GST Voucher-Cash is an individual-based scheme. As such, households with more eligible members will receive more GST Voucher–Cash support. Other Government support measures, such as the Community Development Council vouchers, U-Save rebates and Service and Conservancy Charges Rebates, are provided at the household level. Taken together, our support schemes cater to households with different circumstances.

The GST Voucher scheme is also designed to provide more support to those with less means. While any eligibility threshold creates a cut-off, individuals with higher incomes who are not eligible for the GST Voucher scheme may still benefit from other Government support measures. We will continue to review our support schemes, taking into account changes in incomes, household circumstances and the broader economic environment.