HKK 349 3

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153

1980

CONT

AL

POINT E: HAS BEEN EXPANDED, BEARING IN MIND THAT THE DIRECTOR OF THE VISA OFFICE AND ITS STAFF WOULD BE DIPLOMATIC PERSONNEL REPRESENTING THE MFA. MR S XV EXPRESSED THE VIEW THAT THE NEW PHRASE ADDED TO E WAS CONSISTENT WITH NORMAL INTERNATIONAL PRACTICE, POINT F: HAD ALSO BEEN EXPANDED FOR SIMILAR REASONS,

POINT G# EXEMPTION FROM PROPERTY TAX MRS XU CLAIMED THAT IT WAS NATURAL TO CLAIM THIS EXEMPTION SINCE THE OFFICE AND THE BUILDING WERE THE PROPERTY OF THE PRC GOVERNMENT,

POINT H: MRS XU SAID THAT, HAVING SERIOUSLY CONSIDERED THE LEGISLATIVE DIFFICULTIES IN HONG KONG OVER EXEMPTING THE VISA OFFICE OFFICIALS FROM TAXES AND DUTIES ON THEIR PERSONAL EFFECTS, THE MFA HAD DECIDED NO LONGER TO INSIST ON SUCH EXEMPTION, OR ON EXEMPTION FROM THE INSPECTION OF THEIR PERSONAL EFFECTS ALTHOUGH THE MFA'S EARLIER REQUEST ON THIS HAD BEEN A REASONABLE ONE.

POINT I: MRS XU RECOGNISED THAT THERE WERE FEW TAXES IN HONG KONG AND ON GOODS IMPORTED AND EXPORTED BY THE OFFICE'' OR THOSE FOR OFFICE WORK, BUT, SHE CLAIMED, THE VISA OFFICE AND ITS PERSONNEL SHOULD BE EXEMPT FROM TAXES ON SUCH ARTICLES AS WINE, TOBACCO, PETROL, COSMETICS ETC.

THE FCO MEMORANDUM

5. MRS XU SAID THAT, WITH REGARD TO THE BRITISH MEMORANDUM OF 15 DECEMBER, SHE WISHED TO POINT OUT THAT THE PHRASE IN ITS PARAGRAPH 1 'BETWEEN CHINA AND HONG KONG'' WAS INCORRECT IN HER VIEW, SINCE, TAKING DUE ACCOUNT OF HONG KONG'S STATUS AND HISTORY A MORE APPROPRIATE FORM OF WORDS WOULD BE ''BETWEEN CHINA' S MAINLAND AND HONG KONG''.

6. SHE SAID THAT THE TEXT OF PARA 5C.

SHOULD BE DELETED

FROM THIS MEMORANDUM, SINCE IT SHOULD NOT COVER THE RELATIONS BETWEEN THE NCNA AND THE VISA OFFICE. SHE SAID THAT OUR DISCUSSIONS WERE ONLY CONCERNED WITH THE MODALITIES OF ESTABLISHING A VISA OFFICE.

GENER AL

7.

MRS XU CONCLUDED BY STRESSING THAT THE ESTABLISHMENT OF A CHINESE VISA OFFICE IN HONG KONG WOULD GREATLY FACILITATE VISA ISSUING, AS, UNDER EXISTING ARRANGEMENTS, PASSPORTS HAD TO BE SENT TO SHENZHEN FOR STAMPING. SHE WOULD WELCOME IN DUE COURSE OUR COMMENTS ON THE NEW CHINESE DRAFT MEMORANDUM.

8. ATKINSON UNDERTOOK TO REPORT, AND WELCOMED THE CHINESE DECISION NOT TO CONTINUE TO CLAIM EXEMPTION FROM THE INSPECTION OF, AND TAXATION OF PERSONAL EFFECTS. HE DREW ON THE POINTS SET OUT IN PARA 2 OF THE TUR, AND STRESSED THAT

CC.

2

IAL

SEVERAL

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