'No taxation without representation.' It might be a bit of a stretch, but the rallying cry of Washington DC would be equally applicable to Hong Kong.
With Financial Secretary Henry Tang Ying-yen advocating a wider tax base to stabilise government revenue, it is becoming increasingly clear that he supports the idea of a sales tax.
What a pity! One of the characteristics of Hong Kong that I've always been proud of - and eager to brag about to my American friends - is its simple income taxation system, unhampered by sales duties.
Hong Kong is, by far, one the most capitalistic communities in the world. It is unfortunate that with economic freedom and efficiency come the inevitable social inequity and the lack of a 'safety net' to cushion those on the lowest rung of the ladder of prosperity.
Low taxes attract investment, boost tourism and spur entrepreneurship. Innovation is only financially rewarding when your income is not taxed at 40 per cent.
Economics students inevitably learn about the so-called 'invisible hand'.