1) Transforming our economy through innovation and productivity
- The Productivity and Innovation Credit (PIC) scheme’s three-year extension, from 2016 to 2018, and the introduction of the new PIC+ scheme means that small and medium enteprises (SMEs) making substantial investments to revamp their businesses through innovation will enjoy enhanced tax rebates.
- SMEs encouraged to adopt proven ICT-based productivity solutions and pilot emerging technology solutions.
- Increased support and financing for companies wishing to expand globally.
- Introduction of a slew of measures aimed at improving technology in the construction industry, including increased levy for foreign workers to encourage the hiring of higher-skilled labour.
2) Building a fair and equitable society through education and healthcare
- Pre-school will be made more affordable to lower- and middle-income households through the Kindergarten Fee Assistance Scheme (KiFAS), and significant increase in university, polytechnic and ITE bursaries
- Permanent Medishield subsidies for lower- and middle-income groups, and increase in subsidies for Specialist Outpatient Clinics (SOCs).
- Employer CPF contribution rate increased by 1 percentage point for all workers, and employee contribution increased by 0.5 percentage point for those aged 50-55, channelled into the Medisave Account.
3) Pioneer Generation Package
- Subsidy for MediShield Life premiums starting from 40% at age 65, rising to 60% at age 90.
- A further 50% off the net bill for subsidised services at Specialist Outpatient Clinics (SOCs) and polyclinics, and cash assistance of $1,200 a year to help those with moderate to severe functional disabilities.
- Annual Medisave top-ups of $200 to $800 for life, with older cohorts of the Pioneer Generation enjoying a larger top-up.
4) Support for persons with disabilities
- Extend Early Intervention Programme for Infants and Children (EIPIC) subsidies to include households earning above the median income, in addition to an enhanced $500 base subsidy.
- Make transportation more affordable with subsidies that cover up to 80% of the cost of dedicated transport to access school and care services, and a new Taxi Subsidy Scheme to subsidise up to 50% of the cost of taxi travel.
- Reliefs for those supporting a handicapped dependent increased by $2,000.
5) Additional support for households to cope with cost of living
- One-off GSTV – Cash: Seniors’ Bonus for all eligible Singaporeans aged 55 and above.
- One-off GSTV – U-Save Special Payment, made on top of the regular GSTV – U-Save payments, benefitting those in smaller flats more.
- One-off service and conservancy rebate.
6) Increase in taxes for alcohol and tobacco
- Excise duties for cigarettes and tobacco products will be raised by 10%
- Taxes for liquor will be increased by 25%.
