Forum: Have a fairer way to collect tax from owner-occupied properties
I refer to Ms Emily Yap Yong An’s points (
- by autobot
- Sept. 9, 2024
- Source article
Publisher object (23)
I refer to Ms Emily Yap Yong An’s points ( , Aug 28) and the response by the Ministry of Finance ( , Sept 3). I can relate and sympathise with those affected seniors and retirees having to bear much higher property tax bills for their owner-occupied residence. I am 66 years old and have been living in a private property together with my extended family for almost 10 years now. My property tax in the last four years has increased about three times, simply because the annual value has risen as all my neighbours were able to increase their rental due to demand and supply. While they can pass on the increase in the property tax to the tenants, we, the owner-occupied property owners, bear the brunt of the increase. We are not able to pass on the higher tax. We appreciate the lower tax rate accorded to owner-occupied property, but still the increase is a pain to us. I think it would be worse for retirees and unemployed seniors who are supposed to be enjoying the fruits of their labour living in their own property. I can understand the need to have a wealth tax, but I think it is not fair to increase the tax burden of property owners who live in their properties simply because of the “wealth effect”. There is no wealth to talk about unless one decides to rent or sell the property. I fully appreciate the help we receive such as rebates and paying by extended instalments, but I think there can be a fairer way to collect tax from properties which are owner-occupied, bearing in mind that one does not create real wealth in an owner-occupied property simply because all the neighbours are receiving increasing rents. Tan Ah Heng