SINGAPORE: Imagine standing at the cashier counter, waiting to pay for a new designer bag you have picked out at a boutique along Bond Street - the home of luxury shopping in London.
In Singapore, the scheme allows tourists to claim a refund on the GST paid if they purchase more than S$100 at participating shops. It thus increases tourist spending in the country as well as the profitability of shop owners, department store operators and the hospitality industry, the professor of accounting added.TAX RELIEF"A GOOD INCENTIVE"
Prior to Brexit, the UK had offered tax refunds to tourists when it was a member of the European Union, said Assoc Prof Lau.According to the UK’s Association of International Retail , Britain is now the only European country that does not offer tax-free shopping to international visitors, news site euronews reported.
“The decision is made after considering and balancing the objective of encouraging tourists to spend more and measuring it against the objective of maximising tourist revenue .” “ could be certain authentic items that are only available in specific countries, such as KitKats of certain flavours only found in Japan and not in the rest of the world … and souvenirs are often one of the most popular reasons for tourists to make purchases - either as memorabilia for themselves or gifts for their loved ones back home,” said Assoc Prof Lau.estimated to reach S$13.8 billion to S$14.3 billionIn the first nine months of 2022, receipts came up to an estimated S$8.