Active economy. Beautiful environment. Caring society.
Keep up to date on how businesses can navigate this year’s Budget measures.
The Organisation for Economic Co-operation and Development (OECD) proposal for a global minimum tax is expected to reduce the effectiveness of tax incentives as a tool to encourage larger multinational enterprises (MNEs) to invest in Singapore. Therefore, it is crucial for Singapore to strengthen its competitiveness on the non-tax front to remain attractive to foreign direct investors. In addition, Singapore needs to promote a conducive environment for local enterprises to expand and internationalise, while addressing the socio-economic considerations amid a maturing demographics profile and the ongoing economic transformation.
In the long term, the expected increase in government spending should be funded by economic growth. Meanwhile, there has been much debate about whether a wealth tax can help address fiscal needs and income/ wealth redistribution. Being a leading asset and wealth management centre, Singapore would need to consider any such measure carefully to avoid capital flight.
This year’s Singapore Budget, presented on 18 February, is focused on preparing us for future challenges and opportunities so that we can continue to strengthen our competitiveness as a financial and business hub. Hear from Chris Woo, Tax Leader, PwC Singapore and Kor Bing Keong, GST Leader, PwC Singapore on their key takeaways from the Budget.
Watch our webcast (now available on-demand) as we break down the new measures and share insights on what this year’s Budget means for you and your business.
View our Singapore Budget 2022 Commentary for practical insights and action points for businesses to rethink, reimagine and transform now.
Leading up to the budget announcement, we have put together proposed measures to the Government pivoted on three key themes around creating an active economy, a beautiful society and a clean environment, with business competitiveness, social resilience and environment, social, and governance (ESG) identified as the main areas of focus.