Even though personal income tax and company profit tax are modest in Hong Kong, people do not feel the worth of it and do not feel their tax dollars are properly spent. There is a constant need to increase taxes.
The reason we need to increase taxes is inefficient use of current tax dollars and the lack of ability to solve problems, including our health care, education, and social welfare systems.
Eliminate Personal Income Tax Totally
Personal income tax makes up only 20% of the government income which is about the same as our total health care expenditure. We should be able to eliminate personal income tax totally from savings of medical expenditure through the adoption of the proposed Personal Health Fund Scheme. The voucher system in educational reform will allow more savings when people can use their money more efficiently. There will be less need for social welfare when we help people become more independent when their health is restored.
Social Responsibility Tax
This is not an actual tax by the government but a moral declaration by each individual to devout 1-5% of their income or resources every year to help make Hong Kong better in their own ways. A list of those individuals can be posted on a special blog, such as on the Better Hong Kong Movement website. The important message is that we cannot depend on our government to solve all our problems; we can do a lot ourselves.