11.2.87
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believe that a higher relative contribution from direct
taxation is desirable for Hong Kong. If our revenue is
overly dependent on narrowly based direct taxes, then it
is all too easy in difficult times to be forced into a
position where one has to increase those direct taxes
significantly in order to provide for committed recurrent
expenditure.
44.
As both the economy and government services
grow, the stability of public finances can best be assured
by endeavouring to develop a broadly based tax system,
because such a system is more resilient. I am not
suggesting a case for higher overall taxation: simply a
way of spreading the tax burden more widely across
community.
45.
We must be practical in our approach.
We do not
want complex new taxes. Neither do we want taxes that are
costly to administer or damage incentive.
very well without them.
We have done
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