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We are not falling for your salaries-tax carrot, Mr Tang

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SCMP Reporter

Financial Secretary Henry Tang Ying-yen must think we are ignorant bumpkins if he believes dangling a carrot of salaries tax cuts will persuade us to embrace his proposed goods and services tax ('Tang unveils sales levy concessions', October 17). Your graphic illustrating how much different income groups will save proves he has shot himself in the foot. It clearly shows that high-income earners will save more, and hence that a GST (with salaries tax concessions) favours the wealthy. This is exactly one of the arguments most people have against a GST - it is unfair to low-income families.

Various contributors to the South China Morning Post, including columnist Jake van der Kamp and Liberal Party chairman James Tien Pei-chun, have clearly demonstrated that a GST is neither appropriate nor necessary in Hong Kong. The dangers presented by our 'narrow tax base' are as meaningless as the term is mumbo-jumbo. It all depends on how you define 'narrow'.

Most people in Hong Kong do not want a GST ruining our simple tax system, Mr Tang. Come out of your virtual universe and listen to us.

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ALEX HUNG, Mong Kok

In 'Tang unveils sales levy concessions', Henry Tang Ying-yen admonishes political parties who do not back a GST with the words: 'I am not trying to threaten them, but as political parties they have got to be more responsible and mature. They should answer the question of where the money comes from.'

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How classic from a person who was born into wealth. Does he know 'where the money comes from' for people living from pay cheque to pay cheque, or people who are not even protected by a legal minimum wage? These are the people who will be affected the most by a GST, not the wealthy like Mr Tang.

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