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THE COLONIAL SECRETARY replied- The Government has for some time past been in communication with the Dairy Farm Ca. on the matters referred to in the question, but it is not possible to make any statement at present.
Enemy Property
THE ATTORNEY-GENERAL moved the second reading of the Bill intitulet, Au Ordinauce to provide for the transference of property, rights and powers to succes sive holders of the office of Custodian of Enemy Property.
THE COLONIAL SECRETARY secondei and the motion was agreed to.
to
H
EXCELLENCY-The Bill is passed)
The Stamp Ordinance
THE ATTORNEY-GENERAL said-i ş move the second reading of the B intituled, An Ordinance to Amend the Law relating to Stamp Duty, and ? doing so, I would like to acknowled the assistance received from varia bodies and individuals, members of b Councils, and others. The time has un fortunately been short and think
THE COLONIAL SECRETARY seconded, are greatly indebted to the vario and the motion was agreed to.
bodies and persons who have devoted much time and care to the examinatio THE ATTORNEY-GENERAL-1 beg to of the Bill and given to the Governmen move that the Council now go into Com.the benefit of their views and delibe mittee to consider the Bill clause by rations. The course of the criticism he taken the form of efforts to reduce the clause.
increases of the various duties propos
ment to omit certain other duties alte gether. Even where the Governmedi have not been able to agree with d the arguments put forward, I think the arguments have helped very much clear up the position, and will enabl us eventually to come to just decisions.
THE COLONIAL SECRETARY seconded, by the Bill and to induce the Gover and the motion was agreed to.
On the Council reamming, the ATTORNEY-GENERAL reported that no amendments had been made, and moved that the Bill be read a third time.
THE COLONIAL SECHETARY seconded, and the motion was agreed to.
H EXCELLENCY-The Bill is passed.
Treaty of Peace Orders
THE ATTORNEY GENERAL moved the second reading of the Bill intituled, An Ordinance to modify certain provisione of the Treaty of Peace Order, 1919, 19 amended by the Treaty of Peace (Amend ment) Order, 1920, and by the Treaty of Peace (Amendment) (No. 2) Order, 1920, for the purpose of adapting the provi sions of the Owler to the circumstances of the Colony of Hongkong.
I would like to refer, sir, to two # three general points. It has been s gested more than once that, as the Government are only asking for a milli from the new stamp duties, and as the present yield is about $800,000 or $900 00 a year, they might have obtained tha um by simply doubling the existin duties. But, apart from the fact th in some cases in many cases-particula duties have been doubled, I would lik to point out that there are a good mazi headings of duty in the present sta law which cannot fairly be doubled, even inoreased at all. There are othe that we think cannot safely be double because, if they were, the probable eff
THE COLONIAL SECRETARY seconded, might be either to drive trade from the and the motion was agreed to.
Colony-which is a thing one m
always bear in mind-or else encoura The Council went into Committee to evasion to such an extent that d consider the Bill clause by clause. No the duty would produce nothing amendments were made and on the Coundouble the yield of the present t cil resuming,
THE ATTORNEY-GENERAL moved that the Bill be read a third time.
Doubling as a means of obtaining other million is impossible because the are certain items-they amount to ma than half-which cannot fairly or sale
evenue.
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be doubled. We, therefore, bave to look abandoned. There are also a number of to other means of increasing the stamp small amendments which it is proposed to submit in committee-some are drafting amendments; others of some slight sub- I propose to go atantial importance. through the Bill and state the amend.
#
It has been suggested, both in this Bouncil, and elsewhere, that the duties
posed by this Bill are an attack on Freements which we propose to bring forward rade. I venture to say, sir, that is an in committee, and state what particular proper use of the term "Free Trade," provisions of the Bill we are prepared, and that nothing in this Bill has any at this stage, to abandon, earing at all on the question of Free Trade "Free Trade "I think, is used in two senses in the first se being pposed to a system of monopolies or hartered companies. There is nothing of hat kind here. In the second sense, it is ased as being opposed to a system of axation under which import duties are posed on imports from abroad, or ounties given for the protection of home dustries. This Bill, of course, imposes o import duty whatever, and gives no bounty; it has nothing at all to do with he question of Free Trade. I mention this because phrases are very dangerous nd that phrase might get abroad and give the idea that Hongkong is abandon- ng its policy of Free Trade. The only import duties in Hongkong are tite duties on obacco and liquor, and they are not touched by this Bill,
Clause 3, sub-clause 29, contains It has been pointed out that that defini- definition of the term "vesting order."
tion includes too much. A great many resting orders which are not trausters of property for consideration, but are made, eg, on the appointment of new trustees, would have to pay conveyance duty.
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this case is to omit that sub-clause altogether What is proposed to be done in
and to insert in sub-clause 9, which in 8 definition of ** conveyance
ale," after the word instrument these words: and every decree or order of any Court." That will make the sec- section and will confine the duty on vest- tion practically a copy of the English ing orders, to vesting orders on sale. It may be that we shall not get the duty on all the vesting orders we ought to get it on, but I think, on the whole, it is fairer than the present draft.
Clause 17 provides that instruments executed out of the Colony, other than vills of being executed, brought into force, actes exchange and promissory notes, shall, before upon, or registered within the Colony, be stamped with the duty to which they would have been liable if executed here in the first instance. It had been point-
Another suggestion made for dealing ith the deficiency in revenue is that we bould obtain money by means of Short a. Un that point, I only want to say that I think the phrase "extraordinary apenditure" which appears in the esti
ates is perhaps (though quite a good phrase for its purpose) a little mislead # for the man in the street. It has been ggested that to make roads and put up ouses and other buildings we ought noted out that that might be unduly hamper- do rely to taxation but obtain Short ing in the case of policies, bills of lading Los for the purpose. As long as I have and, 1 think, mates receipts, attached to en in the Colony-over 20 years we bills of exchange, and if a form of word- ve always been making roads and puting can be found to exempt those from ing up buildings; it is
the section, I think that that exemption a constantly curring expenditure and though it does might very well be made. I have not bad ult in the permanent improvement of time to draft an amendment to that the Colony, still, as Hongkong is, for effect, but I have no doubt that some
nately, a developing Colony we always form of words can be found. are had, and shall have, I hope for many ears to come, to go on building roads nd putting up buildings out of revenue and not relying on short loans for the
arpone.
Clause 21 is the clause dealing with the duty on agreements for the sale of property. It is proposed to omit that altogether, and to omit, of course, the corresponding Heading 5 In the schedule. I think it is a duty which would not result in a very large yield because I think the cases to which it would apply in this Colony are small in
Now, in further consideration of this all the Government have come to the nclusion that a good many of the pro- posals in it must be either altered or number.