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(b) If the fund were held by the
Railway both interest earned and
profit on investments would be gross
receipts of the Railway and therefore
assessed.
While the fund is part,
in effect, of the Colony's balance
the profit is not assessed.
7. There is also the point of
uniformity with the Chinese Bection.
If
it is desired to preserve this uniformity
in the Railway accounts themselves the
proposed renewals fund could on this
ground also be held in preference in the
Colony's hands and not in the Railway
accounts.
the afore
that will about prints to fout to the for posing
It is suggested/that the fund
8
might be set up simply as an earmarked
part of the Colony's surplus under the
following procedure: An annual
contribution to the fund to be provided
under a separate sub-division of the
Railway