COE system, are we subsidizing the Rich!

[Eyke]

https://sg.finance.yahoo.com/news/middle-income-singapore-subsidising-coes-030040385.html?linkId=11642691

the flaw in the article is that the buyer is usually not the one bidding for the COE.

once the buyer as accepted the car price, he would have given his dealer the power to bid up to the amount that was factored into the car price.

thus COE bidding is transparent to the buyer, they feel no pain, and in fact will rejoice when coe goes up as they will enjoy higher paper value.

that is the insidious nature of letting dealers bid.

doubt LTA will change to buyer-only-bid and pay-as-you-bid, unless Gahment change...

Edited January 19, 2015 by pChou

[Thaiyotakamli]

I dont get the link of title and content...

[Vid]

I also don't get it. When everyone is paying the same COE price, how to say the poor is subsidizing the rich?

 

Just like GST when the government say it is to help the poor, I also didn't get it. How to help when the poor has to pay more for everything?

 

Maybe I'm too stupid [bigcry]

[Mustank]

In before mod change title

[Eyke]

see the article's title and their argument that middle-income is paying same COE tax as the rich buying Ferraris, Lambos, etc, implying it's not a fair system as everywhere else in the world: rich pay more tax.

 

thus in terms of government tax revenue, we are subsidizing the rich since all bidders end up paying the same for this COE tax.

 

and in COE bidding, the rich can v happily bid $1M to guarantee get COE with no cost or consequences.

Edited January 10, 2015 by Eyke

[Member69]

It has nothing on subsidizing for the rich. Everyone is paying the same amount.

Its a 1 + 1 answer but the author made it into an atomic calculation answer. Clever can already dont need to kay kiang.

 

The only thing he mentioned right is to allow drivers bid the COE instead of dealers.

[Deckbuild]

Car is not a need but a want. The only thing that I considered subsidising is if LTA implement reduce road tax due to GPS ERP implementation, those luxury car park at home.

 

Hope it will not happen...

[Maroon5]

Hmmm 500 Coe vs 5m population, not even 0.1%, I thk all these buyers shd b considered rich.

 

So the rich all of them are subsidising the poor in terms of Coe revenue being used for public funding.

 

Ok wat :p

[Ender]

It has nothing on subsidizing for the rich. Everyone is paying the same amount.

Its a 1 + 1 answer but the author made it into an atomic calculation answer. Clever can already dont need to kay kiang.

 

The only thing he mentioned right is to allow drivers bid the COE instead of dealers.

If you consider COE as a form of tax, then indeed the rich are not paying more currently, which they should. But if it's consider as permit or license to own a vehicle then everybody should pay the same. Since coe = certificate, all should pay the same. Edited January 10, 2015 by Ender

[Optramagnum]

Rich will usually buy a luxury car, others will buy B&B cars. So there is still a difference. COE is just a baseline expense. If one is really poor, he/she won't even consider owning a car. So I think it's not a fair statement.

[Thaiyotakamli]

If ferrari road tax cost the same as altis, then i would say its unfair

 

 

But paying for same pieces of paper, entitle a slot in the road, i think its fair

[ER-3682]

I think COE the best fix amount,like Cat A,$60,000,Cat B,$70,000,easier for the Dealers & Car buyer...no need to worry up or down....Need a car just buy,also LTA should consider...buyers to Q themselves at LTA to get COE[the rich may get someone Q for them],like buying Apple I-Phone 6.

[Heartlander]

So a same plate of chicken rice should be sold at $3 to HDB dwellers, $10 to Condo dwellers, $30 to landed property owner?

 

If not, the poor people would be subsidising the rich people. Same goes for everything that are available for sales. What kind of logic is that?

 

To subsidise means the actual cost is much higher. Definitely not applicable to coe as it is pure tax income for government.

[Wt_know]

govt give out coe then no complain liao ... muahahaha

Edited January 10, 2015 by Wt_know

[Beehive3783]

The line in bold applies to LTA most appropriately.

 

Isn't that what they are doing to mess up everything now? Road tax calculation, diesel tax calculation, rebate calculation and all other smlj calculation?

 

 

It has nothing on subsidizing for the rich. Everyone is paying the same amount.
Its a 1 + 1 answer but the author made it into an atomic calculation answer. Clever can already dont need to kay kiang.

The only thing he mentioned right is to allow drivers bid the COE instead of dealers.

 

[Heartlander]

govt give out coe then no complain liao ... muahahaha

Not true. Some camps will think they are more deserving and deserves higher priority. Never can please everyone lah.

[Watwheels]

Maybe if you talk about this a decade ago it may work lah. Now you and I got to look at the bigger picture. That is the vehicle population has hit the 1milliion mark. Now you are suggesting ways to make car purchasing easier. Do you seriously think your idea will get thru or not? Are naive or are you very cute?

 

What the article suggests is irrelevant. Whether you are rich or you are poor at this point of time the gahment wants to discourage you from getting a car. I dunno whether drivers felt it or not during peak hours or finding a lot to park. It's getting more and more challenging and drivers more and more impatient. So you want to worsen the situation by making car purchasing easier? Make worse until taking public transport or cycling is faster dan driving a car?

 

We dun have so much land mass to build roads liao. Vehicle growth only can grow so little annually. Most ppl talk thru their selfish butt and this is no different. These ppl won't be satisfied til one day everybody finds that owning a car is pointless.

[Wt_know]

this day will come surely ...

 

These ppl won't be satisfied til one day everybody finds that owning a car is pointless.