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Tax Reform and Political Reform in Hong Kong

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Abstract:

There is open agreement that tax reform in Hong Kong is now a matter of when rather than if. The Hong Kong Government itself acknowledges that Hong Kong’s revenue law is out-dated. The expected keystone of the reform process is the introduction of Hong Kong’s first ever general consumption tax, in the form of a Goods and Services Tax. The introduction of a GST will represent the most radical tax reform in Hong Kong since 1947 when the jurisdiction's first income tax system was introduced. The Hong Kong Special Administrative Region of the PRC is also notable for retaining a comparatively outmoded political system. Given that Hong Kong is by most measures a first-world, city-state and has been so for some time, this conjunction of attenuated development in two fundamental public policy regimes raises several questions. First, how has this come to pass? Second, what relationship, if any, lies between the development and maintenance of the tax and political regimes? Third, if major tax reform is to come, is this bound to add significant impetus to the calls for increased democracy in Hong Kong?
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Name: The Law and Society Association
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http://www.lawandsociety.org


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MLA Citation:

Krever, Tor. and Cullen, Richard. "Tax Reform and Political Reform in Hong Kong" Paper presented at the annual meeting of the The Law and Society Association, TBA, Berlin, Germany, Jul 25, 2007 <Not Available>. 2013-12-15 <http://citation.allacademic.com/meta/p182416_index.html>

APA Citation:

Krever, T. and Cullen, R. , 2007-07-25 "Tax Reform and Political Reform in Hong Kong" Paper presented at the annual meeting of the The Law and Society Association, TBA, Berlin, Germany <Not Available>. 2013-12-15 from http://citation.allacademic.com/meta/p182416_index.html

Publication Type: Conference Paper/Unpublished Manuscript
Abstract: There is open agreement that tax reform in Hong Kong is now a matter of when rather than if. The Hong Kong Government itself acknowledges that Hong Kong’s revenue law is out-dated. The expected keystone of the reform process is the introduction of Hong Kong’s first ever general consumption tax, in the form of a Goods and Services Tax. The introduction of a GST will represent the most radical tax reform in Hong Kong since 1947 when the jurisdiction's first income tax system was introduced. The Hong Kong Special Administrative Region of the PRC is also notable for retaining a comparatively outmoded political system. Given that Hong Kong is by most measures a first-world, city-state and has been so for some time, this conjunction of attenuated development in two fundamental public policy regimes raises several questions. First, how has this come to pass? Second, what relationship, if any, lies between the development and maintenance of the tax and political regimes? Third, if major tax reform is to come, is this bound to add significant impetus to the calls for increased democracy in Hong Kong?

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