‘Complicated and costly’ cash handout scheme criticised by Hong Kong lawmakers
Some have said the scheme, that will see 2.8 million Hongkongers receive cash handouts, undermines the new fiscal philosophy
Hong Kong lawmakers from across the political spectrum have criticised the government for coming up with a “complicated and costly” scheme to give over one-third of Hongkongers, or 2.8 million people, a cash handout of up to HK$4,000 (US$510) each.
More than 1.5 million Hongkongers to get cash handout of HK$4,000 each as government bows to intense political pressure
The money would be given to Hong Kong residents aged 18 years or above, as of December 31 this year, who do not own property, do not receive any government allowances, and need not pay income tax for the financial year ending March 31 this year.
The handout does not embody any new fiscal philosophy but is a one-off measure to cope with the mounting pressure from the political parties
Those who meet the first two criteria but still pay income tax and are eligible for the tax breaks announced in the February 28 budget, meanwhile, could claim the difference between HK$4,000 and the concessionary amount.
Speaking on a radio programme on Saturday, Lo Wai-kwok, chairman of the pro-government Business and Professionals Alliance, said: “The government needs to explain more clearly whether it is relying on the residents to apply for the handout, or take the initiative to contact the eligible residents.”
Democratic Party chairman Wu Chi-wai called on authorities to think of ways to make the best use of official databases to minimise the administrative costs.
“The direction was correct,” he said. “But people were saying that the scheme was too complicated … Different departments have very clear databases [of residents’ personal information], the government needs to make good use of information technology and get the departments to help with the scheme.”
Pro-establishment lawmaker Wong Kwok-kin, of the Federation of Trade Unions, said the group had been receiving a lot of phone calls from residents who would like to know whether they are eligible.