Question 1

A “War on Diabetes” was declared in 2016 to rally a whole-of-nation effort to tackle diabetes in Singapore as part of this war, the following strategies were contemplated, among others: (a) imposing a sugar tax on high-sugar content drinks; (b) restricting advertisements of high sugar content drinks; and (c) labeling nutritional/sugar contents of high sugar content drinks.

Discuss which government body in Singapore would be better placed to implement a sugar tax – the Ministry of Finance (“MOF”) or the Inland Revenue Authority of Singapore (“IRAS”), and express an opinion on whether the sugar tax should be implemented in Singapore. Responses for this question shall not exceed two (2) pages.

Question 2

Identify the following dates based on facts presented in the case study: (a) filing due dates; (b) payment due date; (c) initial penalty imposition date; and (d) objection due date.

Question 3

Apply the principles of income tax to Mr. ABC and compute his: (a) taxable employment income; (b) taxable rental income (with breakdown between commercial and condominium units); (c) chargeable income; and (d) net income tax payable, for the relevant year of assessment in a way that would minimise his income tax exposure in Singapore.

Show all workings and account for all income and deductions – for example, if an income is not taxable or a deduction is not claimable, that income or deduction must be indicated as “$0” in the income tax computation. State reasonable assumption(s) if any of the facts presented in the case study is/are unclear – to avoid doubt, new fact(s) may not be introduced.