87
The revenue for military contribution should, however, be calculated as follows :-
Gross revenue
Deduct gross receipts
$ 100,000 10,000
$90,000
Add net receipts
Gross receipts
10,000
Less working expenses
Four per cent. of capital cost
5,000 12,000
17,000
Net receipts
Nil
Revenue for military contribution
$90,000
J. O. ANTHONISZ, Acting Treasurer,
Straits Settlements.
No. 73 of 1905.
STRAITS SETTLEMENTS.
Paper to be laid before the Legislative Council by Command of His Excellency the Governor.
MEMORANDUM by the Treasurer. Straits Settlements, regarding the calculation of the amount payable for Defence Contribution in respect of 1904. Section 2 of Ordinance XXI. of 1899 and Section 2 of Ordinance XVIII. of 1904 provide that the charges for working expenses and maintenance of any pro ductive undertaking and for interest and sinking fund on any sums borrowed for the construction of such undertaking, or, when the cost of construction has been defrayed from revenue, four per cent. of such capital cost during a period of 50 years, shall be deducted annually from the gross receipts of such undertaking, and the percentage struck on the net receipts (if any).
In the form in which the military contribution has hitherto been calculated the amounts representing four per cent. of the capital cost of productive undertakings have been added together and deducted from the gross revenue, instead of each of such amounts being deducted from the gross receipts of each particular undertaking. This amounts to deducting the debit difference between the four per cent. of the capital cost of any productive undertaking and its gross receipts from the general revenue, whereas the intention is that such debit difference should be treated as nil for the purpose of military contribution. For instance, say the general revenue is $100,000, the gross receipts of a particular undertaking, $10,000, and the four per cent of capital cost of that undertaking, $12,000, and working expenses $5,000.
Under the present plan the revenue for military contribution would be calculated as follows:-
STATEMENT of Actual Revenue of the Colony for the Year 1904 on which the Military Contribution is payable.
Actual revenue for 1904
Deduct :-
Land sales.
Penang Telephone Exchange
Railway receipts
Currency note issue
Christmas Island revenue
Refunds of revenue Penang Pier
Add net railway receipts
Gross receipts
Net receipts, Penang Telephone Exchange :-
Gross receipts
9,323.93
Singapore,
25th October, 1905.
$
10,746,517.49
22,485.83
17,431.81
194,716.31
114,297.61
46,774.15
548.74
405,578.38
10,340,999.11
194,716.31
Less working expenses Less four per cent. capital cost of
construction
144,664.19
74,572.55
219,296.74
Nil.
17,431.81
Gross revenue
Deduct gross receipts
Four per cent. of capital cost
100,000
Less working expenses
10,000
Less four per cent. capital cost..
7,548.42 4,250.61
12,000
11,799.03
22,000
5,632.78
Net receipts. Penang Pier :-
$78,000
Gross receipts
9,323.93
Add net receipts
Less working expenses
6,377.42
Gross receipts
10,000
Less working expenses
5,000
*Less four per cent. on capital cost
($1,228,129.26)
49.125.17
5,000
55,502.59
Nil.
Revenue for military contribution ...
83,000
..
* $600,000 of this sum was borrowed from the Federated Malay States at 4 per cent, interest.
34658
A
. PUBLIC RECORD OFFICE
Reference :-
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