Goods and services tax (GST) for a haircut?
was surprised when he was charged GST after getting a haircut at Salon One in Tampines recently.To understand what happened, you have to first understand the salon's intricate pricing system.
The Stomper said when he became a member three years ago, he was not charged GST. He just paid $60 and that was it. "After I paid $50, she put out her palm and asked for another $4. I asked why. She said the $4 was for GST."The current GST rate is 9 per cent and 9 per cent of $50 is $4.50, not $4.A check on the Inland Revenue Authority of Singapore website confirmed that Salon One Beauty Salon is a GST-registered business. So it is allowed to charge GST., prices that are quoted must be GST-inclusive as the public needs to know the final price they have to pay upfront.
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