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Public Order
Revenue Collection
The Customs and Excise Department is responsible for the collection of excise duties derived from dutiable commodities stipulated in the Dutiable Commodities Ordinance: liquor, tobacco, hydrocarbon oil and methyl alcohol. During the financial year 2012-13, the excise duties. collected amounted to $8.98 billion, of which 59.2 per cent was from tobacco, 36.4 per cent from hydrocarbon oil, 4.3 per cent from liquor and 0.1 per cent from methyl alcohol and other alcohol products, representing a total increase of 16.2 per cent over 2011-12.
The department also assesses the taxable values of motor vehicles under the Motor Vehicles (First Registration Tax) Ordinance for the purpose of levying first registration tax. In 2013, the department registered 128 motor traders, assessed the provisional taxable value of 67,652 vehicles and re-assessed 16,213 of them, resulting in the collection of $8.12 billion first registration tax by the Transport Department.
Revenue Control
The department administers a licensing and permit system to control the manufacture, import, export, storage and movement of dutiable commodities. It ensures that no dutiable commodities, whether imported or locally manufactured, are released for local consumption unless full duty has been paid.
Revenue Protection
The department strengthened the manpower of the Telephone Order Task Unit from 15 to 26. officers in April 2013 to take enforcement action against telephone orders and online sale of illicit cigarettes. In 2013, there were 1,995 cases involving smuggling, storage, distribution and peddling of illicit cigarettes (a decrease of 12.2 per cent compared with 2012) and 85.8 million sticks of illicit cigarettes were seized.
In 2013, 9,162 people were fined under the Compounding Scheme for abuse of duty-free cigarette concessions (an increase of 6.1 per cent compared with 2012), involving 3.3 million sticks of cigarettes.
The department continues co-operating with overseas customs administrations to stamp out transnational cigarette smuggling. In 2013, by monitoring suspicious shipments and through intelligence exchange, the department's efforts led to the seizure of eight million sticks of illicit cigarettes and 4,500 kilograms of illicit tobacco by overseas enforcement authorities.
The department takes sustained action to stamp out illicit fuel activities. In 2013, it solved 84 illicit fuel cases, arrested 103 people and seized 47,000 litres of illicit fuel. The number of cases was 55.6 per cent less than that of 2012.
Anti-narcotics Operations
The department continues to take vigorous enforcement action to prevent and suppress the unlawful manufacture, distribution and trafficking of dangerous drugs; to trace, confiscate and recover drug proceeds from illegal drug activities; and to prevent the diversion of chemicals used for the illicit manufacture of dangerous drugs. It also maintains close co-operation and
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