commitments of the Government and to strengthen
the financial position of the Colony.
3. I note from paragraph 9 of the despatch
for that/the reasons given therein it was decided not
to include in the Ordinance provision for taxing
income received in the Colony from abroad. In view
of the many difficulties likely to arise in the
period immediately following the introduction of
the Ordinance, I do not wish to press for any
amendment at this stage, yet, Nevertheless, it is
I am parte that funder of the Ordinfine the Jofuer-in- mall way by Order
exempl institution
and herron, office.
trak hayment of all or Hart of the tax chargeable under the It would appear Ordinance.
be
that it is desirable to state the cimpurtances in which much an Onderwy
be maple, and it is
mggested for your consideration
that the words
"I
grounde aquity hold
invertfal after the frond timlifilim". Seating 89.
in life 2 of
ليستلم
بیما
considered only reasonable that a person or firm
resident in Hong Kong should be taxable on the total
income received in the Colony. You will doubtless
this bear this point in mind when a suitable opportunity
obrime that no
provisim is In this connection occurs to amend the Ordinance.
the exemption of the incranes of, for example,
registered building or friendly societies and of local 4. It is also observed that in Sections 50 and 51 anthorities and exclusivitical,
charitable or cxrational power is taken to arrange with other Governments for
relief from double taxation and to give tax credits
in conformity with any such double taxation agreement.
In this connection the United Kingdom Inland Revenue
Department is prepared to submit proposals as regards
such an arrangement with the United Kingdom Government
as soon as the Hong Kong Government is ready to con-
ider the matter.
5. In view of the recent changes in the constitutional
position of India and Burma, it is suggested that the
definition of the British Empire in Section 2 should,
en a suitable opportunity arises, be amended to read
follows:-
'British Empire' means any part of His Majesty's
dominions, territories under His Majesty's
protection, and territories under mandate or
trusteeship by the Government of any part of
His
s dominions."
of a public
intitatims
character in as
w mul
income is not derived from trade. ( See Sec. 8 [+) up the Model Ineme Top Ordinance). I assume that, having regard
circumstances in the
کا
Colony, much specific exemption were not, considered deviable
(Copied from
Malaya as drafted by C.0
Аастие так
Legal Advisers
of
at allowances" pard
Page 30Page 31