TAX CREDIT ON OVERESTIMATED PUB BILLS

Dr Toh Chin Chye asked the Minister for Finance and Minister for Health whether Government tax on overestimated Public Utilities Board bills will be credited to consumer accounts.

Dr Hu Tsu Tau: Mr Deputy Speaker, Sir, tax is payable on monthly PUB bills above $80. For domestic consumers, the sanitary appliance fee and refuse charges are excluded from the tax.

When the meters are not read, the PUB bills are estimated. The tax is subsequently adjusted when meter readings are obtained, and the Government tax on overestimated PUB bills credited to consumers' accounts.

Government tax is not payable on all fixed charges, either for domestic or non-domestic accounts. Examples, besides appliance fee and sanitary charges, are fees charged for pink notices for late payments, re-connection of supply, second test of meter and special meter readings. Prior to November 1977, tax adjustments were calculated manually. As from November 1977, the computer automatically adjusts the tax on accounts which do not involve more than eight months of stored information. For other cases, manual adjustments are necessary.

Dr Toh Chin Chye (Rochore): Mr Deputy Speaker, Sir, I am not sure whether the Minister for Finance has been reading his own PUB bills. But I have been studying my bills and I can assure the Minister that, whereas the PUB would credit over-estimates to actual readings, on the other hand, Government tax has never been credited at all. It remains on the estimated bill.

Dr Hu Tsu Tau: Mr Deputy Speaker, Sir, if the Member for Rochore would let me have his bill, we will look into this.

Dr Toh Chin Chye: Sir, it is wrong for me to raise this question solely on my own interest. I am asking this question on behalf of the consumers in Singapore.

Dr Hu Tsu Tau: Sir, the response really is to find a natural case we can investigate.

Dr Toh Chin Chye: I accept the suggestion given by the Minister.