64
16
the reference to lawful authority or reasonable excuse in the new section 19 (1).
33. Section 13 of this Ordinance amends section 20 of the principal Ordinance in two minor points One is that the word " penalty" is substituted for the word sum or "debt" in order to make the general provisions rela- ting to penalties apply clearly to the penalties which are called sums and debts in the present section 20. The other is that sub-section (2), which provides for the reco- very of the $500 penalty is omitted because the matter is dealt with generally in the new section 10 (1).
34. Section 14 of this Ordinance repeals section 22 of the principal Ordinance which gave the Commissioner or the Court power to reduce penalties and substitutes a new section giving the Commissioner discretionary power to reduce penalties and to reduce to single rate any duty at a higher rate chargeable under the Ordinance.
35. Section 15 of this Ordinance inserts five new sec- tions in the principal Ord nance. The new section 24 enacts 2 of 3 sub-sections of a section which was recom- mended by the Stamp Duties Committee which reported in August, 1929. It has not been thought practicable to enact the other sub-section which appeared in Annexe B of the report in question and which cast on the personal It is representative the onus of proving a negative. intended to make registration prima facie evidence of beneficial ownership at death in the case of shares on share registers which are by law required to be kept within the Colony.
36. The new section 25 provides that if estate duty has already been paid in respect of any settled property since the date of the settlement, upon the death of one of the parties to a marriage, no estate duty shall be payable on the death of the other party to the marriage unless such person was at the time of his or her death, or had been at any time during the continuance of the settlement, com- petent to dispose of such property. This provision is adapted from section 5 (2) of the Finance Act, 1894, as amended by section 14 of the Finance Act, 1914. The special definition in sub-section (2) of the term settlement is inserted because in the principal Ordinance generally that term excludes testamentary dispositions.
37. The new section 26 gives relief in certain cases of quick succession, the duty on the second death being reduced in accordance with a scale which varies according This pro- to the period elapsing between the two deaths. vision is taken from section 15 of the Finance Act, 1914.
38. The new section 27 gives relief in the case of estates which just pass over one of the steps in the scale of estate duties. The effect of the section can best be seen from examples. For example, an estate is valued at $10,500. At the new rate of 3% (the old rate is the same) the estate duty would be $315. Under this section, however, duty can be paid at 2% on $10,000, i.c., $200, with an addition of $50, i e., $250 in all instead of $315. Again, an estate is assessed in $100,500. At the new rate of 6% the estate duty would be $6,030. Under this section duty can be paid at 5% on $100,000, i.e., $5,000, with an addition of $500, i.e., $5,500 in all instead of $6,030. Of course if an estate passes over the step in the scale by more than a small amount it would not pay the estate to claim the relief. This provision is taken from section 13 (1) of the Finance Act, 1914.
39. The new section 23 gives relief in the case of certain interests which do not fall into possession. It provides that in the case of set led property, where the interest of any person fails by reason of his death to become an interest in possession, and subsequent limita tions continue to subsist, the property shall not be deemed