Singapore to hike taxes on rich as it winds down Covid-19 spending

Finance Minister Lawrence Wong arriving at Parliament to deliver his Budget speech, on Friday, Feb 18, 2022. - The Straits Times/ANN

SINGAPORE, Feb 19 (Reuters): Singapore will begin implementing a long-flagged increase to its goods and services tax next year, its finance minister said in his budget speech on Friday (Feb 18), while also announcing a slew of tax hikes aimed at higher income groups.

The moves come as Singapore emerges from a pandemic-induced economic slump, but walks a tight rope in maintaining its attractiveness as a global financial hub while guarding against local concerns about rising wealth inequality and rising costs of living.