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By Ordinance No. 5 of 1848, for abolishing the stamp duty imposed
on Coolie engagements, a further reduction of taxation was made to the amount of 30,0001. per annum; but this Ordinance was disallowed by Her Majesty's Governnient (despatch dated November 24, 1848) for reasons stated inLord Grey's despatch October 12, 1848; the Governor being desired to re-impose this duty, and effect, if possible, an equivalent remission in taxes of a more objectionable character.
This further removal of duties to the amount of 30,000l. was not the same absolute relief as the other remissions amounting to 37,9291., inasmuch as the planters were to forego, as a condition of the former, the introduction of 3000 coolies (cost 22,000/), of which they would have had the advantage if the reduction of duties in question had not been made.
In communicating Her Majesty's decision on the foregoing ordi- nances, Lord Grey concluded his despatch thus:—
"You will interpret nothing in the present despatch as in the least degree modifying my frequently expressed views upon the urgency of reducing expenditure, and with it taxation. The ordinances which have been here passed in review constitute as a whole a step towards improvement, and in fulfilment of the instructions furnished you, which Her Majesty's Government regard with gratification; but these mea- sures Her Majesty's Government trust are but the forerunner of more extensive and effectual efforts to lighten the burdens of the colonial community."
Lord Grey to Sir Wm. Gomm, No. 402; November 24, 1848.
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