We refer to the letter “外地股息也须缴消费税?” by Mr Peng Zhirong (Lianhe Zaobao, 21 Feb). 

GST is chargeable on goods and services supplied in Singapore by GST-registered businesses. Dividends paid in cash, whether paid by local or foreign companies, are not subject to GST because there are no goods or services provided.

We have since clarified with Mr Peng that he was charged GST on other services he had received, and not in respect of his dividends.

We thank Mr Peng for the opportunity to clarify.

Kelly Wee (Ms)
Director (Corporate Communications)
Inland Revenue Authority of Singapore