WEDNESDAY, MARCH 8, 1989
31
COUNCILLORS SUPPORT BILL TO PLUG TAX LOOPHOLE
THE INLAND REVENUE (AMENDMENT) (NO. 2) BILL 1988, WHICH TO PLUG A LOOPHOLE IN THE PRINCIPAL ORDINANCE, WAS
*
HON PETER POON AND THE HON TODAY WEDNESDAY).
PETER WONG
IN
THE
SUPPORTED LEGISLATIVE
SOUGHT BY THE COUNCIL
MR POON
NOTED
THAT UNDER THE INLAND REVENUE KONG EARNING ASSESSABLE
NON-RESIDENTS OPERATING IN HONG PROFITS HERE WERE TAXED THROUGH THEIR AGENTS IN HONG KONG,
A
BASIS,
ORDINANCE INCOME OR
PARTIES WERE DEALING A RECENT COURT CASE DECIDED THAT IF THE
DUE TAX
BY THE DIRECTLY ON
PRINCIPAL TO PRINCIPAL WAS NOT RECOVERABLE NON-RESIDENT
BY THE COMMISSIONER OF INLAND REVENUE THROUGH THE PARTY WHO PAID SUCH A NON-RESIDENT.
THE PURPOSE OF THE AMENDMENT
LOOPHOLE.
BILL WAS MAINLY ΤΟ
PLUG THIS
ORIGINAL INTRODUCTION OF THE
SCOPE OF SOME PROVISIONS HARDSHIP AND UNCERTAINTY
MR POON ALSO NOTED THAT SINCE THE BILL, CONCERN HAD BEEN EXPRESSED THAT THE
COULD CAUSE OF THE BILL WAS TOO WIDE AND UNDER CERTAIN CIRCUMSTANCES.
HE SAID A LEGCO HAD BEEN SET UP TO STUDY THE BILL AND VARIOUS REPRESENTATIONS MADE.
AD HOC
GROUP, OF
HAD
WHICH HE WAS CONVENER, CAREFULLY CONSIDERED THE
ON A NUMBER OF COMMITTEE IT HAD AGREED WITH THE GOVERNMENT
THE
OF THE VIEW
AD HOC
WOULD GROUP, STAGE AMENDMENTS WHICH, IN
WOULD NEVERTHELESS ENABLE THE ALLEVIATE THE CONCERNS EXPRESSED BUT AUTHORITIES TO COLLECT TAX DUE BY NON-RESIDENTS.
THE AMENDED BILL HAD BEEN THE LOOPHOLE TO
MR WONG SAID HE WAS PLEASED THAT FOUND ACCEPTABLE TO TAX PRACTITIONERS WHILE CLOSING THE SATISFACTION OF THE INLAND REVENUE DEPARTMENT.
OF INLAND AT THE SAME
HE WAS, HOWEVER, DISAPPOINTED THAT THE COMMISSIONER REVENUE DID NOT SEE FIT TO RELEASE HIS "PRACTICE NOTES" TIME THAT THE AMENDMENT WAS BEING ENACTED.
DETAILS OF HOW THE THE "PRACTICE NOTES" WOULD GIVE THE FULL COMMISSIONER INTENDED TO APPLY THE LAW IN PRACTICE, MR WONG SAID.
THE FINANCIAL SECRETARY,
POON AND MR WONG AD HOC GROUP HAD GIVEN ΤΟ
THE
FOR
FOR
THE
WINDING UP DEBATE ON THE BILL, HON PIERS JACOBS, SAID HE WAS GRATEFUL TO MR THEIR SUPPORT, AND HE ALSO THANKED MEMBERS OF THE THEY THE CAREFUL AND DETAILED CONSIDERATION THAT MEASURE.
/"WITH REGARD
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