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Wednesday, February 27, 1974
TAX RELIEF PROPOSED
Several tax concessions were proposed by the Financial Secretary,
the Hon. Philip Haddon-Cave, this afternoon when he presented his budget
to the Legislative Council.
The first involves increasing the allowance for depreciation of
plant and machinery from one-fifth to one-quarter as from the year of
assessment 1974/75. This would cost the revenue $10 million.
He also intended to invite the Board of Inland Revenue to adopt
a new table of rates of depreciation to be effective for years of assessment
commencing on or after April 1 this year, at a cost to the revenue of not
less than $20 million in 1974/75.
The second proposal for relief involves raising the exemption
limit for estate duty on $200,000 to $300,000. This would result in a
possible reduction in reverue of more than $1 million in the coming financial
year.
Under the thirà proposal, transfers of shares, marketable securities
and property by way of outright donations to designated charitable institutions
will be exempt from stamp duty in the same way as bills of exchange which
constitute gifte are exempt. The loss to revenue is unknown, but the Financial
Secretary believed it would be small.
Mr. Haddon-Cave also proposed to abolish ad valorem stamp duty on
student loan documents.
The Financial Secretary did not propose to raise the allowance for
If the tle present 10 per cent allowance was the
charitable donatio
maximum that should be deducted from the personal assessment, earnings or
profits of donors.
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aad van Shanna put kader dadahagkan penaging mat
Amanda APELINA,