ESTATE DUTY (AMENDMENT) BILL

Order for Second Reading read.

The Minister for Finance (Dr Richard Hu Tsu Tau): Mr Deputy Speaker, Sir, I beg to move, "That the Bill be now read a Second time."

The purpose of this Bill is to give legislative effect to the estate duty exemptions for:

(a) gifts made to the National Museum; and

(b) voluntary CPF contributions made by self-employed individuals.

The estate duty exemption for gifts to the National Museum is part of the overall Government's scheme to encourage private collectors to donate artifacts, particularly those pertaining to Singapore's cultural heritage to the National Museum.

Presently, gifts to the Museum are exempted from estate duty if they are made more than 12 months before the date of death of the donor. With the present amendment, gifts made less than 12 months can also be made exempt from estate duty.

With effect from the Year of Assessment 1987, voluntary contributions to the CPF by the self-employed is exempted from income tax. The voluntary contributions will also now be exempted from estate duty.

Sir, I beg to move.

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. - [Dr Richard Hu Tsu Tau].

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