Higher taxes for luxury items: G19 lawmakers
An alliance of lawmakers from the functional and election committee constituencies on Tuesday said the government could consider raising the tax on certain luxury items, but that society's less well-off should be spared from a higher tax burden. Speaking to the media after meeting Financial Secretary Paul Chan and submitting their budget proposals, the G19 said government charges that affect the grassroots should not be increased, but the authorities can consider raising or imposing duty on luxury cars and yachts, as well as raising the stamp duty on the transactions of flats worth over HK$10 million. Chan has said the government may review public service charges as part of efforts to boost revenue amid a budget shortfall. "On the basis that 'the able pay more' and 'user pays', we think that [an increase in the charges] should not be across the board," said Carmen Kan, vice-convenor of the G19. The convenor of the group, Tony Tse, said the salaries and profits tax systems should not be changed. "I think we should maintain our current system which is very simple, and can attract more people to Hong Kong," he said. Tse, who represents the architectural, surveying, planning and landscape sector, also said the government should not impose a levy on people travelling to mainland China, saying that would hinder cross-border integration. Earlier, the Liberal Party proposed a "departure tax" on permanent residents travelling out of Hong Kong by land, air or sea, in a bid to boost government revenue.