Sales Tax |
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| This proposed tax continued to be on the top of the association's agenda
considering the adverse impact it would have on the tourism industry and our members. In
September 2003, the association conducted a survey to gauge the opinions of members and
based on the findings a position paper was prepared and handed over to our Honorary Adviser,
Mrs Selina Chow, who represented the Wholesale and Retail functional constituency until
September 2004. The paper reflected our opposition to the sales tax. It was also an opportunity
to underline our concerns. |
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From the day the Financial Secretary Mr Henry Tang, revealed in his maiden Budget that the
Government would consider levying a sales tax to bridge the fiscal deficit, we have closely monitored
all opinions on the issue. An overwhelming majority of members, or 95%, questioned in a survey
conducted in March 2004 objected to the tax and 93% of them also said the revenue-raising measure
would adversely-affect their business. The survey received a response rate of 51 %.
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To represent our members' concerns on this issue, we also mobilised other parties with a
common interest in the issue to form an alliance - Coalition Against Sales Tax. This coalition is
a united opposition presenting a potent argument and a force to lobby the Government to shelve the
sales tax.
This coalition reflected to the Government the concerns of the retailing industry, consumers and tourists
while demonstrating the possible detrimental effects on the economy as a whole. United for a common cause,
the alliance undertook campaigns to solicit support from other parties as well to ensure that Hong Kong
remains a tax-free shopping paradise. |
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