Why GST On Condo Sinking Fund?

Source : The Straits Times, Monday, October 8, 2007

I OWN a property and receive monthly billing from the property management corporation for the following:

Management fund;

Sinking fund; and

GST on the sum total of management fund and sinking fund.

My interpretation of sinking fund is a fund deposited into the management corporation account for future ‘large amount expenses’ which have been decided and approved in the property annual general meeting.

Therefore, my question is this: Is GST applicable to this deposit held in trust by the management corporation, as the money has not been spent?

At a future date when the management corporation spends the sinking fund to fix certain items, a contractor will be chosen and then the cost to be paid by the management corporation to the contractor will certainly be charged GST.

This issue has probably missed the attention of many property owners. Therefore, an answer from the authorities is greatly appreciated.