Why rich Hong Kong won’t pay HK$2 to ensure your tax return is filed on time

How stingy can a government be? Hong Kong has huge annual budget surpluses, runs the post office and still wants people to pay postage for mailing tax returns. Worse, Hongkong Post has issued a warning that if the 30-cent increase in postage that took effect on January 1 is not reflected by a HK$2 (US$0.25) stamp and there is no return address on the envelope, the letter will be destroyed in 14 working days.

The forgetful sender will be none the wiser until the Inland Revenue Department gets in touch to advise of a no-show and, in all likelihood, prosecution and a fine of HK$10,000.

This is what is known by officials in the slogan-driven language of our times as a “win-win”. From the government’s perspective, it’s about each of its scores of departments and agencies being cost-effective. The post office’s increase in postage was to offset escalating operating costs brought about by inflation and the competition from commercial delivery services. From day one of the rise, it has made clear that anyone not paying attention to the increase and forgetting to include a return address on their letters would have their errant correspondence fall victim to paper shredders.

It’s true that the postal delivery industry isn’t what it used to be. Electronic communications have put paid to revenue from personal letters and cards. But for all the trying times, Hongkong Post still turns an operating profit; in the 2016/17 financial year, that amounted to HK$153 million.