COPY.

No. 54 (10066/26).

Jes to 1.0..Canton

& Hongkong.

sår,

BRITISH LEGATION, PEKING.

December 6th, 1926.

43

I have received your despatches Mos.99 and 101

of November 20th and 25th respectively and I approve your

attitude as therein reported.

2.

As you are aware the question of these new

Cantonese taxes and of our precise attitude thereto 18

still under the consideration of Eis kajesty's Government,

but in the meawhile I think we must asume that our

present acquiescence in the payment of these taxes by

British subjects presupposes that such payment will free

the goods in question from all further taxation at least

at the port of importation. You should therefore follow

this general line in any verbal representation you may

have occasion to mae to the Commissioner of Foreiga

Affairs on the subject.

3.

With regard to the communication from the

Commissioner of Foreign Affairs enclosed in your despatch

No.101, you will be aware that His Majesty's Goverment

do not at present desire to resist payment of these

taxes by British subjects, but at the same time we cannot

of course permit the statement you refer to to pass

unchallenged. You should therefore, at your discretion,

reply by informal letter to the Commissioner of Foreign

Affairs that you are not aware of any cases of British

merchants refusing to pay the tax, but that you cannot,

C.C.A. Kirke Esq., C.B.R.,

His Majesty's Consul,

Swatow.

until/

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