62
HONG KONG ANNUAL REPORT
houses and premises 'for the upholding of the requisite Police Force.' To-day rates are one of the largest revenue- producing items, the revised estimate for 1956-7 being over $56,000,000.
The basis of rateable value is the annual letting value of a tenement, by which is meant any land or any building or part thereof held or occupied as a distinct or separate tenancy or under licence from the Crown.
Rates are levied in Hong Kong Island, Kowloon, New Kowloon and also in that part of the New Territories adjacent to the main road from Laichikok to Castle Peak. The latter area, which includes the industrial district of Tsuen Wan, was first assessed on a rental basis from 1st April, 1956.
In Hong Kong Island, Kowloon and New Kowloon rates are, with a few exceptions, charged at 17 per cent per annum of rateable value, and are payable quarterly in advance: in respect of the New Territories the corresponding charge is II per cent. The valuations are prepared by the Commissioner of Rating and Valuation, and demand notes are issued by the Accountant General for payment at the Treasury. There is provision for a surcharge on any rates in arrears, but the yield from this has been comparatively small.
IMPORT AND EXCISE DUTIES
There is no general tariff, and for most goods Hong Kong remains a free port so far as duties levied upon goods for protection or revenue purposes are concerned. There are, however, five groups of commodities, either imported into or manufactured in the Colony for local consumption, which are treated as sources of revenue and upon which duties are levied under the authority of the Dutiable Commodities Ordinance. These are liquor, tobacco, hydrocarbon oils, toilet prepara- tions and proprietary medicines, and table waters.
A preferential rate of duty for liquor of Empire origin is levied at between 80% and 87% of the rate for non-Empire liquor. Locally-produced beer is allowed a further preferential