Assessment Tax (Rates)
There is a general rate of 17% on assessed rateable value. $27 million accrued from this tax in 1950/1.
Import and Excise Duties
Over
The description of Hong Kong as a free port sometimes causes confusion. The "free" refers to the fact that Hong Kong has no general tariff, and that only five main classes of commodity are taxed. Import duty is payable on liquor, tobacco, hydrocarbon oils, toilet preparations and proprietary medicines, and table waters.
Excise duty, when these articles are produced in the Colony, is at the same rate.
In addition, a special registration fee of 15% of the value is payable in respect of motor vehicles not produced within the British Commonwealth. Accessories and tools are not taken into account in
assessing this fee. It should be noted that except in special cases it is no longer possible to register a vehicle with left-hand drive for use in the Colony.
The duties on imported liquor range from $1.50 per gallon on beer to a minimum of $4 on Chinese liquor and to $44 on European sparkling wines. A reduction in duty is allowed in respect of liquors manufactured or produced within the British Commonwealth.
The duties on tobacco range from $3 per lb. on the lowest taxed Chinese-prepared tobacco to $7 per lb. on cigars. A reduction in duty is allowed on tobacco of Empire origin and/or of Empire manufacture. A duty of 80 cents per gallon is payable on all light oils imported into the Colony, 40 cents per gallon on all heavy hydrocarbon oils as fuel for any heavy oil road vehicle, and 10 cents per gallon on other hydrocarbon oils. Duty is payable on toilet preparations and proprietary medicines at 25% of ex-factory price in the case of locally manufactured goods and 25% of f.o.b. prices in the case of imported goods. A duty of 48 cents per gallon is payable on table waters imported into the Colony.
There is a sufficiency of bonded warehouses, and drawback on export is allowed on duty-paid materials used in local manufacture.
New Measures
There were no important new taxation measures introduced during the year.
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