Singapore’s decision to hike taxes on its top earners has raised questions about whether the unanticipated move may erode the city state’s longer-term competitiveness.
The nation’s low tax regime has long been a magnet for attracting highly skilled talent as well as the super-rich from abroad.
In its budget for 2015 delivered on Monday, the government announced an increase in the income tax rate for those in the top tier – residents with a chargeable income exceeding 320,000 Singapore dollars ($256,000) – to 22 percent from 20 percent starting with income earned in 2016.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.