Singapore to Remove GST on Gold

harrysantos

harrysantos

New Member
I'm not sure if this has been discussed before but Singapore is planning to remove the GST (Goods and Services Tax) on gold and I think other precious metals by October. it's really such an interesting opportunity and I'm excited about how it will affect the policies of other SE Asian countries and the world.
 
http://www.channelnewsasia.com/stories/singaporebusinessnews/view/1184578/1/.html

Analysts estimate the value of gold traded in Singapore to be worth about US$282 billion over the last year.

The article doesn't distinguish between paper financial (in)securities and physical. Lets call it (optimistically) a 30% Physical / 70% Paper.

Also, 45-65% of the physical imported is re-exported and are exempt from Singapore's GST.

The current GST rate in Singapore is 7%.

So the government of Singapore taxed almost SGD$3 billion/AUD$2.3 billion in GST on physical gold last year.

By forgoing that revenue, they'll probably ignite some interest from refiners, traders, distributors looking for a low-risk business jurisdiction in SE Asia.

The gov. in Singapore might even be trying to encourage private ownership of gold, as China is doing.
 
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