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Tax collection costs should be assessed: tycoon

2012/04/28 21:31:32

Taipei, April 28 (CNA) The government should take into consideration the cost of collecting a proposed capital gains tax, a tycoon urged Saturday.

If the proposed tax can only bring in NT$10 billion a year, the government should evaluate whether it is worth it, said Terry Gou, chairman of Hon Hai Precision Industry Co., on the sidelines of a funfest in New Taipei to reward the company's outstanding workers.

In response to a question on whether he supports the government's proposal to introduce a capital gains tax, Gou said the authorities should calculate how much it would cost to collect the tax.

Even that would require a lot of time and effort since there are many different versions of the tax reform bill and the calculations would have to be done for each one, he said.

"Time is precious for everyone, whether you are a public servant or a citizen," he said.

It is a matter of effectiveness and should be viewed from the perspective of cost accounting, he added.

"Taxation means using the lowest cost to levy the most taxes, while at the same time adhering to rules of justice and fairness," he said.

(By James Lee)