On PM Lee's statement that he would donate his S$600,000 pay increase to charity for the next 5 years -
With effect from 1 January 2005, Double tax deduction will be allowed for:
1. donations to name IPCs, IPC facilities, events or programmes,
2. donations to name facilities of approved beneficiaries (including artefacts and public sculptures) under any of the other approved donation programmes,
3. donations under any of the approved donation programme where the IPC or approved beneficiary acknowledgesthe donation by including the donor's name or logo in the IPC'scollaterals (e.g. banners, publications, advertisements).
Current salary: S$3.1 mil (Taxable income: S$3.1 mil)
Increase by: S$600,000
Donation to charity: S$600,000
Double tax deduction allocated: S$1.2 mil
Previous Salary: S$2.5 mil (Taxable income: S$2.5 mil)
New Taxable Income: S$3.1 mil - S$1.2 mil = S$1.9 mil
Using a gross personal income tax at a 20% rate (for the income bracket of S$320,000 and above)
Gross income after tax previously, taxable income @ S$2.5 mil:
Total amt after tax: S$2 mil
Gross income after tax, taxable income @ S$1.9 mil:
Gross income: S$3.1 mil
Donation to charity: S$0.6 mil
Tax to be paid: S$0.38 mil
Total amt after tax: S$2.12 mil
Gross income after tax, taxable income @$3.1 mil: S$2.48 mil
Gross income: S$3.1mil
Donation to charity: S$0
Tax to be paid: S$0.62mil
Total amt after tax: S$2.48mil
Net Difference with/without donation: S$360,000
[begin feed: Apr 2007]
Previous support level set at $1.2 mil.
Positive breakout on 9 April, with a gap up to $1.6 mil. Likely to remain at $1.6 mil for a few years before trending even higher in 2012, following positive electorate news.
Exponential uptrend in the 2000-day Moving Average.
Heavy divergence in the 1000d/2500d MACD from signal line.
Initiate Strong Buy on this counter.
(if you're still in the dark, go look up "MR4" on Google Singapore)
I didn't think I could handle any further cynicism after public law but as Cosby always said, "Never say -it couldn't get any worse, because it can"