Appendix A.
FINANCIAL REPORT FOR THE YEAR 1939.
1. REVENUE AND EXPENDITURE.
The outstanding feature of the financial year 1939 was a large increase in revenue. The Estimates provided for a deficit of $1,659,898, revenue being put at $36,097,325 (including $839,704 transferred from the Government House and City Development Fund) and expenditure at $37,757,223. The actual revenue was $41,478,052, thus exceeding the estimate by $5,380,727, and the actual expenditure was $37,949,116, thus exceeding the estimate by $191,893. The surplus of assets on 31st December, 1939, was $17,091,170, which may be compared with a figure of $11,867,025 which was contemplated as probable at the time when the 1939 Estimates were originally prepared.
2. Higher duties were imposed in October on liquors of non-Empire origin and on light oils but apart from this the increase in revenue was almost wholly due to the special conditions arising out of the Sino-Japanese hostilities. The special activity in trade, due to the diversion of a much increased proportion of China's trade to Hong Kong, continued throughout the year and the increase of the Colony's population owing to the influx of refugees was maintained. Most of the principal sources of revenue, of which details are given in the Accountant-General's report annexed, show substantial increases. (The number of vacant tenements was practically nil and owing to an increase in the number of buildings and higher rents the receipts from rates were considerably higher than in 1938. Liquor, tobacco and light oil duties show large increases and many other items, such as opium sales, stamp duties and royalties payable by transport companies, which are affected by the magnitude of the population, rose correspondingly. The continued demand for building sites for housing and industrial projects was reflected in very high receipts from land sales.
3. Although the total expenditure was only $191,893 in excess of the amount provided for in the Estimates there were considerable excesses under several Heads which were, however, offset by savings under other Heads. In all supplementary votes for a total of $6,584,007 were approved by the Legislative Council and the Secretary of State. The following analysis of these shows the main categories of this supplementary expenditure:--
(1) Accounting adjustments, not involving the authorization of new expenditure
(2) Revotes of provision in previous estimates $320,265
184,871
(3) Post Office—increases due to re-introduction of air mail surcharge, changes in transit charges, etc. $60,500
(4) Emergency expenses :—
(a) Epidemics of disease $641,863
(b) Relief of refugees $593,052
(c) Other expenditure due to Sino-Japanese hostilities $273,100
(d) Defence and War expenditure $2,489,565
$3,997,580
Appendix A.
FINANCIAL REPORT FOR THE YEAR 1939.
1. REVENUE AND EXPENDITURE.
The outstanding feature of the financial year 1939 was a large increase in revenue. The Estimates provided for a deficit of $1,659,898, revenue being put at $36,097,325 (including $839,704 transferred from the Government House and City Development Fund) and expenditure at $37,757,223. The actual revenue was $41,478,052, thus exceeding the estimate by $5,380,727, and the actual expenditure was $37,949,116, thus exceeding the estimate by $191,893. The surplus of assets on 31st December, 1939, was $17,091,170, which may be compared with a figure of $11,867,025 which was contemplated as probable at the time when the 1939 Estimates were originally prepared.
2. Higher duties were imposed in October on liquors of non-Empire origin and on light oils but apart from this the increase in revenue was almost wholly due to the special conditions arising out of the Sino-Japanese hostilities. The special activity in trade, due to the diversion of a much increased proportion of China's trade to Hong Kong, continued throughout the year and the increase of the Colony's population owing to the influx of refugees was maintained. Most of the principal sources of revenue, of which details, are given in the Accountant-General's report annexed, show substantial increases. (The number of vacant tenements was practically nil and owing to an increase in the number of buildings and higher rents the receipts from rates were considerably higher than in 1938. Liquor, tobacco and light oil duties show large increases and many other items, such as opium sales, stamp duties and royalties payable by transport companies, which are affected by the magnitude of the population, rose correspondingly. The continued demand for building sites for housing and industrial projects was reflected in very high receipts from land sales.>
3. Although the total expenditure was only $191,893 in excess of the amount provided for in the Estimates there were considerable excesses under several Heads which were, however, offset by savings under other Heads. In all supplementary votes for a total of $6,584,007 were approved by the Legislative Council and the Secretary of State. The following analysis of these shows the main categories of this supplementary expenditure:--
(1) Accounting adjustments, not involving the authorization of new
expenditure
(2) Revotes of provision in previous estimates
$ 320,265
184,871
(3) Post Office-increases due to re-introduction of air mail sur-
charge, changes in transit charges, etc.
60,500
(4) Emergency expenses :—
(a) Epidemics of disease
$ 641,863
(b) Relief of refugees
593,052
(c) Other expenditure due to Sino-Japanese hos-
tilities
273,100
(d) Defence and War expenditure
2,489,565
3,997,580
No comments yet.
Private notes are available after approval.