Fiscal deficit is coming back, the overall revenue for this fiscal year will be 577.7 billion yuan and the expenditure will be 617.3 billion yuan, after deducting the issuance of green bonds Financing and interest to be issued are expected to record a deficit of 38.3 billion yuan this fiscal year
In response to the first deficit in 15 years in Hong Kong, the bank suggested that in addition to supporting enterprises and citizens through strengthening short-term measures, the government should further improve tax policies in the long run and continue to promote a diversified economy.
Cui Qingzhao pointed out that sending money by the whole people will further deepen the fiscal deficit
Luo Bingxian also predicted that this year’s profits tax and salaries tax revenue will be about 211.7 billion yuan, which is lower than the government’s original forecast of 233.3 billion yuan. It is also expected that the overall stamp tax revenue will be recorded 11.5 billion yuan, nearly 20% lower than the original estimate of 76 billion yuan. Taking into account the land sales plan announced by the government in the previous quarter, it is estimated that the annual land sales revenue will be 127.1 billion yuan, which is more than 10% lower than the originally estimated 143 billion yuan.
Assigning consumer coupons is more targeted than cash
Although the government has launched several rounds of relief measures involving more than $ 25 billion in expenditure since August last year, the bank expects the total expenditure to total $ 617.3 billion, compared with the original estimate of 60.7 1.8 billion yuan is not far away. The accounting firm believes that Hong Kong needs to strengthen its competitiveness to retain and attract enterprises, funds and talents to revitalize the economy and take it to the next level.
Regarding the proposal for money distribution, Chong Qingzhao, a Hong Kong tax partner of Robinson and Coopers, said that based on 10,000 yuan, the nationwide distribution of money will increase the minimum additional expenditure by 60 to 70 billion yuan. The problem of aging population, social welfare and medical expenses will increase, so expenditures should be prudent and targeted to help grassroots people. He also believes that sending consumer coupons is more targeted at stimulating the economy and spending power than sending money.