CONFIDENTIAL
15 FEE 1993
157437
MDLIAN 3782
new Gör file
нко абі
CONFIDENTIAL
RE
FM HONG KONG
12 FEE 1993
TO PRIORITY FCO
TELNO 224
OF 121005Z FEBRUARY 93.
Q DIST ?
TOP COPY
HONG KONG TELNO 2828: AT THE PART I MEETING OF THE EXECUTIVE
COUNCIL HELD ON 9 FEBRUARY, THE COUNCIL ADVISED AND THE DEPUTY TO THE GOVERNOR ORDERED THAT
(A) (MEMORANDUM XCC (93) 19 REFERS)
THE FILM CENSORSHIP
(AMENDMENT) BILL 1993 SHOULD BE
INTRODUCED INTO THE LEGISLATIVE COUNCIL: AND
(B) TAXATION OF THE GOVERNOR'S EMOLUMENTS
(1) THE DEPUTY TO THE GOVERNOR RAISED THE MATTER OF THE
GOVERNOR PAYING TAX ON HIS EMOLUMENTS. HE SAID THE ADMINISTRATION HAD GIVEN AN INTERIM REPLY TO A LEGISLATIVE COUNCIL QUESTION ON THE SUBJECT, BUT THERE WAS A NEED TO CONSIDER A MORE SUBSTANTIVE RESPONSE. ONE OPTION WAS THAT THE MATTER SHOULD BE REFERRED TO AN INDEPENDENT BODY SUCH AS THE ROSS COMMITTEE. HE ASKED MEMBERS FOR THEIR VIEWS ON THIS PROPOSAL.
(2) THE ATTORNEY GENERAL SAID THERE WAS NO CONSTITUTIONAL
PRINCIPLE INVOLVED. EXEMPTION FROM TAXATION WAS GRANTED TO THE BRITISH MONARCHY ONLY RELATIVELY RECENTLY. IN CONSIDERING THE WAY FORWARD, THERE WAS A NEED TO TAKE INTO CONSIDERATION THE PRINCIPLES OF TAXATION SET OUT IN THE INLAND REVENUE ORDINANCE VIS-A-VIS THE GOVERNOR'S CONTRACTUAL SITUATION.
(3) MEMBERS TOOK THE VIEW THAT THE PRESSURE FOR CHANGE IN
THIS RESPECT WAS COMING MAINLY FROM SOME MEMBERS OF THE LEGISLATIVE COUNCIL AND THE MEDIA. THERE WAS NO OBVIOUS PRESSURE FROM THE COMMUNITY AT LARGE. THEY FELT THAT DUE CONSIDERATION SHOULD BE GIVEN TO THE GOVERNOR'S CONTRACTUAL SITUATION. ONE MEMBER SAID IT WOULD BE REASONABLE IF THE GOVERNOR'S CONTRACT WAS TO BE RENEGOTIATED FOR THE EMOLUMENTS TO BE INCREASED SO THAT THE TAKE HOME PAY WAS THE SAME.
(4) ONE MEMBER SAID THE MATTER HAD A POLITICAL DIMENSION AND
1
PAGE CONFIDENTIAL