Tax system in Australia

We are going to file our tax statement. Guess what filing means we get to receive money from government as the government has already kept the certain amount from the employer. We do not get full amount of salary. At the end of financial yr, you claimed back and for many that can be a small fortune. Those who enjoy the rebates can use the money on whatever they like. Tours with family, buying Christmas presents, buying new clothes and textbooks. Anything but provided you do the work of filing yr tax statement.

One thing bad at the system here is that it is so complicated that many need the service of accountant to help them in getting as uch money back as possible. One of the job always in demand here in Australia is Accountant.

In Singapore, our tax system is so easy that we can file easily by ourselves. If singapore converts to this system of getting the money first, there will be some problems at first but I think all Singaporeans will welcome the move.

Why I say so? Well! I know of many who will spend first and have practically no savings or enough savings to tide them over at least for a couple of yrs. To them the latest gadgets are so fabulous that it seems to be a must to have. During crisis this type of tax system is good as people will not be burden by their income which they earn a yr before. To those who had lost their jobs- paying house mortgages, car loans and if still have to pay the hefty tax incurred for their last yr's salary, it could be really disasterous.

With this type of pay first receive back later system, the jobless might even have the means to tide them over the critical period of joblessness when they get back their tax paycheck.

We can never curb people's spending habits to force them to save. Our CPF system is doing a great job of enabling people to have a roof over their heads by putting money away so they were forced to save. The tax system is another way to make sure families intersts are not forfeited because of poor money management. The yearly pay check if given at around Dec will help poor families to buy books, uniforms, long postponed holidays etc.

I am hoping to see this move as I really find that it will benefit all Singaporeans in the long run.