Mark Six should be a winner for charity
THE Budget speech on Wednesday is likely to include a long-awaited announcement that a greater proportion of the Mark Six lottery duty will be transferred to charity.
The Government's previous rejections of suggestions it should reduce its 30 per cent lottery tax had earlier given rise to threats from legislators that they would force the issue with a private member's bill.
But welfare panel convener Hui Yin-fat said he had received a letter from the Financial Secretary, Sir Hamish Macleod, saying the Government was reassessing its lottery levy.
''He encouraged me to be patient until Budget day,'' he said.
Mr Hui has been one of the biggest advocates of the proposal to reduce the Government's share of the lottery to 25 per cent, and to give the extra five per cent to the Lotteries Fund for welfare projects.
The fund already has a five per cent share in the Mark Six, which earned it about $175 million last year.
Mr Hui said that if the hoped-for announcement did not come on Wednesday, the private member's bill plan would become a real possibility.
Independent legislator Peggy Lam Pei Yu-dja said she would be in favour of any move by the Government to reduce its share of the tax.
''Some people buy Mark Six tickets because they think they have a chance of winning but also because they think it is a charitable donation,'' she said. ''A five per cent share is not enough.'' Fellow independent Simon Ip Sik-on said he believed Sir Hamish might announce a substantial charity donation from the Government's $1 billion proceeds from the Mark Six last year.
Any move to reduce the Government's share would be welcomed by the Royal Hong Kong Jockey Club, which had its management fee for the lottery reduced from 7.5 per cent to six per cent last April. That boosted the Lotteries Fund share to five per cent.
Jockey Club chief executive Major-General Guy Watkins said the Government share was too high, and made lottery participation less attractive for punters.
He said the winners' share was made up of 59 per cent of the total fund, after management, tax and charity levies had been deducted.
