GST is the buzzword on the street right now thanks to the 25-year-old Singaporean woman who was stopped by customs officers at Changi airport after returning from a shopping spree in Paris.
Turns out her designer items were worth more than $11,000 and she had to declare them for Goods and Services Tax, or GST, payment. She now risks being slapped with an even bigger fine for dodging customs.
According to Singapore Customs, all goods, including souvenirs, gifts and products for personal use, brought into Singapore are subject to 7 per cent GST.
There are sneaky ways to avoid the GST trap once you come back from your overseas holiday but remember that failure to declare the value of purchases is an offence under the Customs Act and the GST Act. Offenders can be prosecuted in court and fined up to $10,000 and jailed for up to three years.