WEDNESDAY, MARCH 18, 1987
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BUDGET TOO CONSERVATIVE AND CAUTIOUS
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THE HON RICHARD LAI TODAY (WEDNESDAY) CRITICISED THE FINANCIAL SECRETARY'S BUDGET SPEECH AS TOO CONSERVATIVE+ AND TOO CAUTIOUS+.
SPEAKING DURING THE DEBATE ON THE APPROPRIATION BILL 1987. MR LAI SAID HE MADE THE CRITICISM IN THE LIGHT OF THE PROJECTED GROWTH OF THE ECONOMY AND THE SURPLUS OF LAST YEAR WHICH WAS TEN TIMES THAT FORECAST.
HE POINTED OUT THAT AN OVER-CAUTIOUS APPROACH COULD VERY EASILY BE CONSTRUED AS BEING TOTALLY LACKING IN IMAGINATION AND INITIATIVE.
MR LAI EXAMINED THE BUDGET FROM TWO ANGLES. FIRST, HE REFERRED TO THE FINANCIAL SECRETARY'S SUGGESTION TO MODIFY THE PROPORTION OF DIRECT AND INDIRECT TAX BASES. HE SAID A WIDER INDIRECT TAX BASE MIGHT INCREASE THE TAX BURDEN OF THE LOWER CLASSES IN THAT THEY WOULD NOT BE ABLE TO TAKE SHELTER UNDER THE UMBRELLA OF TAX ALLOWANCES.
+OUR BUDGETARY POLICY MUST NOT BE DRAWN UP ONLY TO EFFECT A STABLE INCOME TO THE PUBLIC COFFER, IT ALSO HAS A SOCIAL FUNCTION OF REDISTRIBUTING WEALTH IN THE SOCIETY, HE SAID.
HE ARGUED THAT THIS COULD BE ACHIEVED BY HAVING A PROGRESSIVE DIRECT TAX SYSTEM IN WHICH THOSE WHO MADE MORE MONEY HAD TO GIVE MORE TO SOCIETY AND POINTED OUT THAT INDIRECT TAXES HAD NO SUCH DISCRIMINATION.
MR LAI SAID HE COULD NOT CONDONE IN PRINCIPLE THAT SEPARATE TAXATION FOR MARRIED WOMEN WAS NOT PROVIDED FOR IN THIS BUDGET.
HE SAID THAT THE INTEREST OF MARRIED WOMEN SHOULD NOT CONTINUE TO BE SACRIFICED FOR THE SAKE OF EXPEDIENCE AND SAVINGS TO THE GOVERNMENT AND THE BURDEN OF FINANCING PUBLIC SPENDING SHOULD BE SHARED EQUITABLY AMONG DIFFERENT SECTORS OF SOCIETY.
SECONDLY, MR LAI COMMENTED ON SPECIFIC MEASURES CONTAINED IN THE BUDGET.
REFERRING TO THE 80 PER CENT INCREASE IN THE ALLOCATION TO THE ENVIRONMENTAL PROTECTION DEPARTMENT, HE COMMENDED THE GOVERNMENT FOR ITS COMMITMENT TO ENVIRONMENTAL ISSUES AND TO THE CAUSE OF SECURING A BETTER LIVING ENVIRONMENT FOR THE PEOPLE.
HE QUESTIONED THE NECESSITY OF PROVIDING A TRANSIT SERVICE AREA FOR THE OPERATION OF THE LIGHT RAIL TRANSIT SYSTEM AND THE RECENT DECISION BY THE KOWLOON-CANTON RAILWAY CORPORATION TO GIVE PRIORITY TO ROUTES CONNECTING YUEN LONG TO TAI WO OVER THE TSUEN WAN LINK.
/+I CONTEND
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