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No. 1 of 1901.
Mode of calculating percentage.
*
THE DEFENCE CONTRIBUTION.
character which may hereafter be established and for interest and sinking fund on any sums raised by loan and utilized for the construction of such railways, telephones or undertakings shall be deducted from the gross receipts of such railways, telephones or undertakings respectively, and the percentage struck on the net receipts only if any in each case.
Provided also that from and after 1st January, 1911, in the case of any railways, telephones or other productive undertakings the cost of the construction of which has been or hereafter may be defrayed out of the revenue of the Colony and not by means of a loan, there shall be deducted annually from the gross receipts of such railways, telephones or other undertakings during a period of 50 years a sum equal to 4 per cent. on the capital expenditure incurred in the establishment of such railways, telephones or other undertakings, and the percentage shall be struck on the net receipts, if any, after deducting the said sum of 4 per cent.
4. In the first instance, the said percentage shall be calculated on the estimated revenue of the year and shall be paid at that rate, subject, however, to revision and adjustment in the manner following:
(1) after the close of any year for which payment has been made, when the actual revenue has been ascertained, if there proves to have been an excess of receipts over the estimate, a further payment of 20 per cent. of such excess receipts shall be made; and
(2) if there proves to have been a deficiency of receipts compared with the estimate, a deduction equivalent to 20 per cent. of such deficiency shall be made from the next payment due for the defence contribution.
Consideration 5. The said percentage shall be deemed to be a fixed contribution for payment of percentage payable by the Colony in full return for the annual cost of the Imperial garrison, including all capital expenditure required for military lands and buildings, and the cost of maintenance of all military works and buildings, and the cost of lodgings in lieu of barracks, and all other military charges whatsoever: Provided that in no year shall the sum paid by way of percentage exceed the cost of the garrison for that year.
* As amended by No. 50 of 1911 and No. 1 of 1912.
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