POSB paid IRAS without account holder's knowledge!

[Confuseous]

Can banks pay Govt bodies without one's knowledge?

Letter from Ng Lee Koon - TODAY

04:45 AM Mar 12, 2012


WHEN I returned to Singapore after being away for nine months, I found a note of demand from the Inland Revenue Authority of Singapore (IRAS).

I called the IRAS and was told not to worry. The money had been transferred from my bank account to the IRAS to pay for my income tax.

I did not have any standing order for income tax payment to be made through GIRO, but a POSB service manager told me that DBS Bank is an acting agent for the IRAS and has the right to deduct from a customer's account when instructed by the authority.

I wish to clarify if it is not more appropriate for the bank to freeze the account so that the account holder is at least alerted. Can banks pay Government bodies directly on behalf of the account holder, without his/her knowledge or authorisation?

Is this standard practice for all banks here and worldwide, or is this an arrangement between certain banks and the IRAS? If it is the latter, which are the banks? Are their customers aware of such an arrangement?

 

[looneytan]

Ah Koon away only 9 months but forgot all local practice already

 

[Narong Wongwan]

No case
This sinkie must have been away for too long he kena unsinkiefied liao.
Sinkieland you can owe anyone money including ah longs but you cannot owe government.
He lucky liao they never arrest him at the checkpoint.

 

[groober2011]

Everything in life is uncertain except death and taxes.

 

[Alamaking]

Its normal, live with it

 

[johnny333]

What do you expect from a government owned bank i.e owned by the Lees

 

[wikiphile]

That is the government exercising its muscle in collecting a tax lien.

 

[huahero]

不要懒惰!
Cancel the Giro arrangement and pay them only when you receive the pink letter.

 

[johnny333]

不要懒惰!
Cancel the Giro arrangement and pay them only when you receive the pink letter.

"I did not have any standing order for income tax payment to be made through GIRO, ....."


I don't think he had GIRO. DBS told him they were acting as an agent of IRAS. So even if you are a DBS customer, they will act against you because there's a conflict of interest i.e. gov't 1st & customer 2nd

 

[Narong Wongwan]

This sinkie very heng liao....
Maybe his case pending for too long.
What they do is they freeze your account, you owe 10k inside got 50k also kena hold.
Then if no action then they go for your employer if you are salaried worker then they bar you from leaving the country then warrant of arrest.
They probably discover this sinkie not in town so just took his money

"I did not have any standing order for income tax payment to be made through GIRO, ....."


I don't think he had GIRO. DBS told him they were acting as an agent of IRAS. So even if you are a DBS customer, they will act against you because there's a conflict of interest i.e. gov't 1st & customer 2nd

 

[chonburifc]

They did the same thing with my property tax. I called iras why they did not sent me anything and website not updated on the deduction. They just came with all the stupid excuse. Just terminate fucking posb and dbs.

 

[chonburifc]

Peasants should get united and close all accounts with dbs and posb. These assholes banks should be taught a lesson.

 

[streetsmart73]

No case
This sinkie must have been away for too long he kena unsinkiefied liao.
Sinkieland you can owe anyone money including ah longs but you cannot owe government.
He lucky liao they never arrest him at the checkpoint.

hi there


1. yes, this is already in practice for a very long time.
2. banks in sheepishland act as 3rd party transaction.
3. sure no case!

 

[streetsmart73]

Its normal, live with it

hi there


1. bro, why change the pic in your avatar leh?
2. the previous gal looks deliciously good & fresh.
3. this one, so so mah.
4. but bonkable!

 

[Narong Wongwan]

Peasants should get united and close all accounts with dbs and posb. These assholes banks should be taught a lesson.

Peasants can united we won't be fucked time and again and left with 60/40 now

 

[NoNewsGood]

The law gives IRAS the power to ask the bank to pay. It can be any bank in Sg, not necessary government bank.

The bank has no choice but to pay because if not, the bank will be committing an offence.

What the writer did not say is that before the bank deduction, the writer had receive a notice from IRAS about the intended deduction, but because he was away, he did not read the notice.