Public consultation sought by MOF on changes to the Goods and Services Tax (GST) Act

10 July 2012

The Ministry of Finance (MOF) is seeking public consultation on the draft GST (Amendment) Bill 2012. The proposed changes include:

  1. Changes resulting from Budget 2012 to facilitate the development of a gold trading hub Singapore, and to put the GST treatment for investment–grade gold and precious metals on par with other actively traded financial assets such as stocks and bonds. The changes will exempt the import and supply of investment-grade gold and precious metals from GST and introduce a new Approved Refiner and Consolidator Scheme to relieve cash flow for refiners and local consolidators.
  2. Changes arising from the regular review of the GST regime and to improve GST administration and technical clarity. These include:
  • extending the scope of GST zero-rating of prescribed financial services relating to goods situated outside Singapore
  • allowing the Comptroller and Minister to set conditions when granting GST remission
  • extending the Temporary Removal Scheme to goods that are removed temporarily from approved warehouses for repairs, and
  • allowing zero-rating of repair services performed on qualified goods outside the Approved Specialised Warehouse.

The consultation paper and feedback channels can be found at the MOF website or REACH portal.

Source: Ministry of Finance (MOF)