GST : effects and impact a case study approach

Abstract

The government of Singapore unveiled their plan for a tax reform on 9th February 1993.

At that time, GST was a new and relatively unknown form of tax in Singapore. As a

result, many traders were confused about their obligations under the GST and how the

obligations could best be carried out. More importantl y, the introduction of GST was seen

as a cost burden on companies, which would add on to the already rising business costs.

The team embarked on a case study to trace th e steps that were taken by the company to

comply with the regulations. The study also examined how the company implemented

the tax and the significance of the impact GST had on the company, especially with

regard to the costs that were imposed .

At the end of the st ud y, some conclusions were drawn abo ut the reform plan and a GST

implementation framework was proposed . The team was of the opinion that the

implementation of GST did not have an adve rse impact on companies and that the effect

of the reform plan is likely to be positive in the lon g run.