BETTING AND SWEEPSTAKE DUTIES (AMENDMENT) BILL

Order for Second Reading read.

The Minister for Finance (Mr Hon Sui Sen): Mr Deputy Speaker, Sir, I beg to move, "That the Bill be now read a Second time."

The Betting and Sweepstake Duties (Amendment) Bill is to give legislative authority to the increase in duty on bets announced in this year's Budget Statement. With effect from 1st April 1981, the duty has been increased from 10% to 15% of the amount of bets.

The Bill also empowers the Minister to vary by order the duty on bets or sweep-stakes, without amending the Betting and Sweepstake Duties Act whenever there is a change in the rates of duty.

Sir, I beg to move.

Question proposed.

Dr Augustine Tan: Mr Deputy Speaker, Sir, according to the Memorandum on the Budget submitted in March this year, estimated revenue derived from betting and sweepstakes amounted to $35.9 million for last year. At the tax rate of 10% on betting and 30% on sweepstakes, the total legalized betting and sweepstakes was probably in the region of $300 million last year. There was probably much more in terms of illegal betting and sweepstakes. It would appear, Sir, that such gambling activities are a billion dollar industry in Singapore.

I would like to ask the Hon. Minister for Finance: what exactly is the Government's stand on gambling? Does the Government consider gambling to be desirable or undesirable? Is the Government aware of the corrosive effects of gambling on work ethics, the development of skills and family stability? How can we tolerate double standards in public policy? On the one hand, we have the Ministers of Education, Communications and Labour and Culture trying to promote and preserve good moral values. The Minister for Trade and Industry is trying to upgrade our industries and encourage workers to learn new skills, to work hard especially as a team, and so on. On the other hand, the Minister for Finance makes money out of the vice of gambling and covetousness.

Raising the tax on betting and sweepstakes will merely increase Government revenue. It will not discourage gambling. In so many ways already, Singapore is like a gambling casino with speculation in shares and property being rife, betting on soccer and other games, resulting in corruption and bankruptcy. Sports like soccer have been turned from a healthy activity into scandals involving bribery of players.

Sir, I think it is time that Government evaluated its policies in regard to gambling. The best thing would be to out-law it altogether.

Mr Hon Sui Sen: Sir, this Bill is merely to implement what was announced in the last Budget. Perhaps the appropriate time to debate the principles of betting and so on would have been at the last Budget session. Nevertheless, since the Member has raised it, I would like to say that while the Government does not as a matter of policy encourage gambling, it recognizes that this is a characteristic which is inherent in many of the populace, and we will try and limit gambling as far as possible. For example, we do not encourage casinos in order to raise revenue. We will, at the same time, in the limited way that is permitted, try and reduce it by making the tax as productive as possible and gambling as prohibitive as we can make it.

Of course, there is a possibility that if we increase the amount of tax, gambling may be driven underground and the tax is reduced. So we are trying to do what we can to take advantage of the propensity for gambling in our populace by raising some revenue, thus trying to make a benefit out of evil.

Question put, and agreed to.

Bill accordingly read a Second time and committed to a Committee of the whole House.

The House immediately resolved itself into a Committee on the Bill. - [Mr Hon Sui Sen].

Bill considered in Committee; reported without amendment; read a Third time and passed.