Let’s bring your attention to some of the things that you enjoy for free in your country.
Your Neighbourhood Playgrounds
Street Lamps &
Who’s Paying For All of This?
YOU, ME and EVERYBODY,
We pay the government for these facilities in the form of taxes.
Some Types of Taxes
Goods and Services Tax (GST)
You pay them almost every time you shop at a shopping mall or dine at a restaurant. Next time you’re out, ask your parents to show you the receipt. At the end of the receipt, you will see the charge for GST. In Singapore, it is 7% of the total bill. That means, if you eat $100 worth of food at a restaurant, you will have to pay an additional $7 for GST to the government.
Did you know that car owners in Singapore (and in other countries) have to pay annual* road tax? That’s how governments get the money to pave the road and install traffic lights.
You think your parents bring home all their salary*? Think again! Every citizen earning a salary has to pay income tax to the government! This is not a bad thing though. We need to support the government so they are able to provide better (sometimes subsidised*) services to us as well as build a comfortable and beautiful city for us to live in!
There are more types of taxes, but I’ll leave it here.
Salary = the money a worker gets paid by the employer for his work done, usually paid weekly or monthly
Annual = happening once a year
Subsidised = reduced price because the government pays part of the cost for you