Tax relief on medical fees heavily favored
Updated: 2009-02-25 07:40
By Louise Ho(HK Edition)
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HONG KONG: The medical profession, awaiting today's second budget from financial secretary John Tsang, says people of Hong Kong are in urgent need of tax relief to help pay their medical expenses.
The medical sector's representative on the Legislative Council, Leung Ka-lau, has called for a tax reduction of 15 percent for people who have taken out medical insurance.
He cited results of a public opinion poll by the Centre for Communication Research at the Chinese University of Hong Kong.
The survey of over 1,000 adults, conducted earlier in February, revealed that 80 percent of respondents believed the government should provide a tax reduction for those who purchase medical insurance.
Leung noted a tax reduction could work to the benefit of under privileged individuals and the middle class.
The tax cut proposal could encourage those who can afford to pay for their own medical expenses to use private health care services, he said.
He reasoned that initiative alone would make public health care services more accessible to low-income families.
Gary Chan, of the Democratic Alliance for the Betterment and Progress of Hong Kong and party spokesman on health services, agreed with Leung. He said John Tsang should consider waiving taxes on money paid for personal medical insurance premiums.
He noted that now would be a good time to introduce the measure, coinciding with government plans to begin a second round of consultation on medical financing this year.
"The tax reduction proposal shares the same goal as medical financing: to ease the pressure of the public healthcare system," he said.
Another proposal he advanced is a dental allowance for the elderly. No such allowance exists at present.
He added he hoped Tsang would increase the amount budgeted for medical vouchers for the elderly. The vouchers aim to subsidize the elderly who use private medical services.
He recommended an increase in the voucher allotment to HK$1,000 dollars a year from the present HK$250 per annum.
Alvin Chan, vice-chairman of the Hong Kong Medical Council, suggested the budget should include subsidies to encourage the training of more family doctors.
(HK Edition 02/25/2009 page1)