David Fong of Hip Shing Hong sees need to help young get a start
Hip Shing Hong scion urges tax and wealth reforms to tackle social challenges, reflecting his unusual approach in a dog-eat-dog city
Hong Kong needs a progressive taxation and wealth redistribution system to tackle its social and welfare challenges, the head of one of the city's largest privately held real estate developers says.
The seemingly off-beat remarks were made in a wide-ranging interview with David Fong Man-hung, the son of a Forbes Rich List member and managing director of the Hip Shing Hong Group.
"Traditionally the tax system in Hong Kong is almost like royalty - it cannot be touched," said Fong. But, he said, the wealthy now needed to support society, and a progressive tax system would help those at the bottom of the social ladder.
Changes could include increases in personal tax rates for the wealthy and a reduction in or the scrapping of mortgage interest tax relief and other tax rebates for higher income earners.
"Tax is a powerful tool in managing income disparity. Although [other tycoons] do a lot of philanthropy, it is targeted at small groups of people," Fong said.
Being accountable only to family and staff, rather than hard-nosed external investors, might help explain Fong's liberal views and a level of social awareness not usually associated with the city's tycoons.