143?
Encl. No. 1
بی
point of view the above method would obviate possible diffi-
culties which might be experienced by the Estate Duty Commissioner
and the Collector of Stamp Revenue in assessing accurately whether
a Company was or was not carrying out part of its business within
the Colony.
12.
As to exemption from income tax or other forms of
taxation in respect of the business carried on by a China
Company registered here, this is a matter which, I am advised,
can best be provided for when the general imposition of any
such tax is under consideration. I do not consider that this
Government can give any assurance at this stage that Companies
registering here will be exempted from any such taxes.
13.
Draft legislation had already been prepared before
524 receipt of your Savingram No. 193 to provide for the retransfer
194400
Hong Kong of Companies which transferred their registered
offices away from Hong Kong or China prior to the outbreak of
war with Japan, and those that transferred their registrations
away from China or Hong Kong after the outbreak of the war.
14.
I enclose for your information a copy of a Bill
intended to be called the Companies (Cessation of Emergency
Status) Ordinance, 1946, which provides for the return of Hong
Kong Companies. It is considered that Clause 9 of this draft
Bill makes adequate provision for the difficulties envisaged
in your savingram under reference.
15.
For this
? para 4
JN: 54
In drafting the above legislation, it was not
considered expedient to include with Hong Kong Companies, the
China Companies which had transferred abroad.
purpose it was thought preferable that two additional Articles
should be added to the Emergency Registration of China Companies
Proclamation whereby such Companies would be placed in the same
position as other Companies transferring their registration to
considered Hong Kong in accordance with the Proclamation.
It was