Tax experts roundly criticised the Budget yesterday, saying it offered taxpayers 'more flash than cash'.
Economists and accountants attending a Hong Kong General Chamber of Commerce luncheon said Wednesday's Budget indicated the Government was working to turn around the economy.
They said, however, that in dollar terms, the concessions offered little relief to taxpayers.
Price Waterhouse senior tax partner Rod Houng-Lee said Financial Secretary Donald Tsang Yam-kuen offered 'more flash than cash', and 'definitely got a big bang for his buck'.
'To say that a half per cent decrease in profits tax is going to make us more competitive over places like Singapore lacks intellectual credibility,' he said.
KPMG Peat Marwick partner Roderic Sage said he was especially disappointed the Government left out corporate group relief and corporate borrowings from overseas associates from the list of tax concessions.
Mr Sage said he had been pushing the Government to allow companies to set-off losses by subsidiaries inside a corporate group against earnings by other units.