Speech by the Hon The Financial Secretary during the Resumption of the Second Reading of the Inland Revenue (Amendment)
Bill 1986 in Legislative Council :
Wednesday 12 March 1986
Sir,
I wish to thank Mr. Peter POON and Mrs. Rita
FAN for their speeches this afternoon and to extend to them in particular and their colleagues on the UMELCO Committee in general my gratitude for the constructive and professional approach which they have adopted towards
this Bill. Mr. Poon
Poon has referred to the consultative process involved during the scrutiny of the Bill.
Bill. I echo
his sentiments. The Bill has been subject to the closest
examination since it was first published last July and substantial amendments have been introduced
in response
to the
made representations many
and UMELCO
Administration by the business community and professional
associations.
has clearly demonstrated the
effectiveness of the consultative process and the increasingly important role that Unofficial Members are playing in examining new legislation.
This
to
the
I agree with Mr. Poon that the Bill represents a reasonable balance between the need on the one hand to
increase the powers available to the Commissioner of Inland Revenue to combat tax avoidance and on the other
to ensure that there are sufficient safeguards to protect
the legitimate interests of taxpayers.
of course,
everyone is entitled within the law SO to arrange his affairs that he attracts the minimum tax. Equally it would be a foolish and irresponsible administration that did not seek to block obvious loopholes in the laws as they appear
From and appear they have and always will. time to time, therefore, it is our job to take steps to
protect the revenue. Otherwise taxes will have to be increased. This would obviously be inequitable to the
large majority.
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