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The only alterations for which I am responsible are explained in Council Paper No 73 of 1905 I do not know what authority Mr Penney had for estimating the difference between the Defence Contribution on the estimated revenue and the contri- bution on what was likely to be the actual revenue, before such actual revenue could properly be ascertained, and providing for the adjustment of this difference in the following year's budget It has converted what has been a very simple matter of accounts into an operation of some complexity; but the object is plain enough, viz, to save embarrassing the District Paymaster, by avoiding the necessity for making any large deductions from our monthly payments to him, in the case of an over-payment, and, secondly, to obviate the need of an application to the Legislative Council for any large addition to the provision for this service in our budget, in the case of an under payment

In view of the necessary adjustments this year of the over payments on account of the defence contribution, I have, in the absence of the late Accountant, who was responsible for the drawing up of the Statement contained in Council Paper, No. 48, of 1905, gone more personally into the whole matter, and carefully into every detail. The conclusion I have come to is that the concluding statement made in that Council Paper is incorrect, and that the running account we have hitherto kept up with the War Office should be finally adjusted as shown further on.

Both the payments of $9.369.20 in August, 1905, and of $3,040 52 in Decem ber. 1905, were in adjustment of the deduction of $207,046 made in 1905 from the defence contribution in respect of what was finally ascertained to be the over-payment for 1904, viz., $194.636.28 The error made in Council Paper No. 48, of 1906, was in the insertion in the concluding portion of the statement of the sum actually provided in the budget for payment, viz., $1,911,585--which allowed for the over

The sum that should have been inserted is payment as then ascertained for 1904. the sum of $2,118,631 (see Appendix A, page 145, to the Colonial Estimates, 1905). which was the defence contribution in the 1905 budget in respect of the estimated revenue of 1905.

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That the above figure is correct is evident from the following statement showing the defence contribution on the actual revenue for the years 1904 and 1905, and the payments during these years.

Dejence Contribution on Actual Revenue.

1904 $2,087,696.72 (see Council Paper 73, of 1905). 1,863,152.56 (see Council Paper 48, of 1906).

1905

Total for 1904 and 1905 $3,950,849.28

Payments made on account of Defence Contribution in 1904 and 1905. 1904 $2,282,333.00 (see Blue Book 1904, page C 48). 1,911,585.00 (see Blue Book 1905, page C 48).

1905

++

11

1906

Deduct

9,369.20 (see Blue Book 1905, page C 48).

3,040.52 (see Blue Book 1905, page C 48).

11.703.56 (see Council Paper, No. 48, of 1906) (in respect of 1905). Total payment for the years 1904 and 1905, $4,218,031.28.

Amount deducted from 1906 contribution in respect of 1905 over-

payment

$60,136.00

(See Estimates 1906, Appendix A., $4,157,895.28, page 155.) Difference between payments ($4,157,895.28) and contribution due on actual revenue ($3,950,849.28) = $207,046.00.

If this statement is agreed to as correct by the War Office the final adjustment for the years 1905 and 1906 should be made this year, and the proposals of the War Office given effect to in the Estimates for the next year.

J. O. ANTHONISZ, Acting Treasurer,

Straits Settlements.

No. 49 of 1905.

STRAITS SETTLEMENTS.

Paper to be laid before the Legislative Council by Command of His Excellency the Governor. STATEMENT of Actual Revenue of the Colony for the Year 1904 on which the Military Contribution is payable.

$ 10,746,517.49

$ 0.

C.

$

The deduction made in 1905 in respect of 1904. viz, in budget for

23rd May, 1907.

1905

207,046

Less

:

$

Paid in August, 1905

9,369.20

December, 1905

3,040.52

12,409.72

194.636.28

should have been relegated to the year 1904, and no account taken for it in the adjust ment made in Council Paper 48, of 1908.

The concluding portion of this paper should, therefore, be amended to read as

follows:-

Actual revenue for 1904

Deduct :-

Land sales

22,485.83

Penang Telephone Exchange

17,431.81

Defence contribution at 20 per cent. Paid in respect of 1905

1,883,152.56

Railway receipts

194,716.31

2,118,631.00

Currency Note Issue-reimbursement of cost of

(See Appendix A., page 145 of the Colonial Estimates for

working

22,385.87

Christmas Island revenue

1905.)

Over-paid

$255,478.44

Refunds of revenue

46,774.15 548.74

304,342.71

$10,442,174.78

Deduct

Amount of estimated over-payment now being deducted monthly from the contribution for 1906 (see Estimates, 1906, Appendix A.)

Capital cost of Singapore Railway to end of

1904

60,136.00

Capital cost of Penang Telephone Exchange to

end of 1904

Amount over-paid

$195,342.44

To this should be added the sum of $11,703.56 paid in October, 1906, in respect of 1905 (see Council Paper 48, of 1906) which will make the over-payment to amount to...

1,864,313.78

106,265.32

1,970,579.10 @ 4%

207,046.00

78,828.16

$10,363,351.62

24688

18

PUBLIC RECORD OFFICE

Reference :-

'ग ग 'ग

C.O. 882

6

PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH-NOT TO

86

Add:-

Net railway receipts

Net Telephone Exchange

$ c. 50,046.00 9,883.39

C.

59,929.39

$10,423,281.01

Twenty per cent on net total Paid in 1904

2,084,656.20 2,282,333.00

Over-paid

$197,676.80

J. O. ANTHONISZ, Acting Treasurer,

Straits Settlements

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