1 – REDUCTION OF GREENHOUSE GAS EMISSIONS

  1. Carbon Tax
    As announced in last year’s budget, the carbon tax on the emission of greenhouse gases (GHG) to reduce carbon emissions will be implemented with effect from this year’s emissions.
  2. Zero Waste Masterplan
    The Zero Waste Masterplan will be launched in the second half of 2019. This plan will focus on better management of food waste, electronic and packaging waste including plastics. The aim is to raise awareness of waste issues and the need to conserve resources.Further details will be released by the Ministry of the Environment and Water Resources (MEWR) at the COS.

2 – RESTRUCTURING DIESEL TAXES

Excise duty for diesel will be increased from S$0.10 per litre to S$0.20 per litre with effect from 18 February 2019.

In addition, the Government will permanently reduce the annual special tax on diesel cars and taxis by S$100/- and S$850/- respectively.

3 – ROAD TAX REBATES AND GRANTS FOR COMMERICAL DIESEL VEHICLES

To cushion the impact of the increase in diesel duty, rebates will be provided as below:-

Period provided Road Tax rebates for Commercial Diesel vehicles *Cash Grants for School buses (S$) ^ Cash Grants for Private Hire and Excursions buses (S$)
1 Aug 2019 to 31 Jul 2020 100% 1,600/- Up to 1,800/-
1 Aug 2020 to 31 Jul 2021 75% 800/- Up to 900/-
1 Aug 2021 to 31 Jul 2022 50% 400/- Up to 500/-

* LTA will disburse every six months when the buses road tax is renewed.
^ The buses must have ferried students continuously for at least 6 months. The cash grants will be pro-based on the number of days the buses have ferried students in the respective time period. LTA will disburse every six months when the buses road tax is renewed.

4 – TIGHTENING OF DUTY-FREE ALLOWANCE FOR LIQUOR PRODUCTS

The revised total duty-free allowance will be two litres (previously three litres) for wine/beer, with the maximum duty-free allowance for spirits remaining at one litre. This will take effect from 1 April 2019.

The revised duty-free allowance options are as follows:-

Option Spirits Wine Beer
1 1 litre 1 litre
2 1 litre 1 litre
3 1 litre 1 litre
4 2 litres
5 2 litres
Tax Principal , Paul Wan & Co.
Esther Mok is a Fellow member of The Association of International Accountants, UK and an Approved Accredited Tax Advisor specializing in both Income Tax and GST with Singapore Institute of Accredited Tax Professionals (SIATP). She has behind her more than 20 years of tax experience dealing with international and local clients.
em@pwco.com.sg
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Tax Principal , Paul Wan & Co.
Esther Mok is a Fellow member of The Association of International Accountants, UK and an Approved Accredited Tax Advisor specializing in both Income Tax and GST with Singapore Institute of Accredited Tax Professionals (SIATP). She has behind her more than 20 years of tax experience dealing with international and local clients.
em@pwco.com.sg
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