Enclosure 3.
THE GOVERNOR ON THE TAXATION OF SHIPPING.
The following correspondence has been forwarded from the Colonial Secretary's Office for publication:
Colonial Secretary's Office,
Hongkong, 7th May, 1891.
Sir,
I have the honour by direction of the Governor to acknowledge the receipt of your letter of the 1st inst., upon which His Excellency has placed the following minute,—I have, &c.
(Signed) F. H. May, for A. C. S.
F. Henderson, Esq., Secretary Chamber of Commerce.
MINUTE TO BE CONVEYED TO THE CHAMBER OF COMMERCE ON THE LETTER OF THE 1ST OF MAY.
I am not clear as to the object of sending this letter at the present moment. Though no doubt the Committee of the Chamber has approved an official report of the facts contained in it, I question much whether an assembled meeting of the Committee considered the matter so pressing as to be thrust on the Governor, by way of reply to his recent speech, within three days of his departure on account of ill health.
But whatever the cause of the action taken in their name I do not doubt that the facts adduced in this letter furnish a useful contribution to an interesting subject for the consideration of my successor.
I have naturally no time to deal thoroughly with the question myself, but I may note—
(1)—That the payment by junks of taxes aggregating the respectable sum of $22,397 is treated as though it should be credited to the harbour, apparently for the purpose of proving that vessels of European construction ought to pay nothing at all.
If it be urged that junks pay no light dues, my reply is that, relating to tonnage, trading junks pay far more than European vessels, even including the special Gap Rock tax about to be remitted.
(2) That "Registry of Boats," of "Cargo Boats," and "Cargo Boat Certificates," the work connected with which is done by the Registrar-General, is considered by the writer as not part of the "ordinary taxation of the colony" (such as for instance the proceeds of jinricksha licences) but go to make up a fund which ought to be specially credited to the Harbour.
It would seem less unreasonable to debit a number of other items for service to shipping as, for instance (such as occur to me at once), viz., (1), a portion of the cost of the Waterworks in respect of the water taken by ships, and (2) a portion of the salaries of the officers of almost every Public Department, besides (for the reason above indicated) those of the Registrar-General's Office, from the Governor, who occasionally (as in the case of the cargo boat strike) is largely occupied with harbour questions and has to deal daily with a considerable number of harbour papers, down to the Sikh policeman who takes charge of drunken sailors.
I think it also worthy of note by my successor that the present tonnage on shipping, including the special rate to be remitted when the Gap Rock light is paid for, are only 2 cents per ton, and that if they were to be increased up to 5 cents per ton, an increase not in the least likely to be required, Hongkong would only then be level with Singapore in respect of harbour charges (where the ordinary rates are 3 cents per ton and 2 cents additional for the Horsburgh light on vessels going westward), which port is, I understand, next to Hongkong, the cheapest in the world.
No one would deplore an increase of taxation in Hongkong more than myself, and I have merely suggested as worth consideration, if such unhappy necessity should arise, whether the weight ought not to fall rather upon the non-local shipping than upon the ratepayers.
The effect on trade in the latter case would be certain, but in the former would, I am inclined to think, be almost inappreciable, if it be true, as I am informed, that the tonnage dues levied at the Ports of China fall upon large vessels with a weight from 15 to 20 times greater than the rates charged in Hongkong, thus rendering "a negligeable quantity" the risk of a transfer elsewhere of this distributing centre.
(Sd.) G. Wm. Des Vœux.
Hongkong, 7th May, 1891.
668
}
"
Encloure 3.
THE GOVERNOR ON THE TAXATION OF SHIPPING.
The following correspondence has been for- warded from the Colonial Secretary's Offios for publication:-
Colonial Secretary's Office,
Hongkong, 7th May, 1891. Sir, I have the honour by direction of the Governor to acknowledge the receipt of your letter of the 1st inst., upon which His Excelleney bas placed the following minute,-I have. &c.
(Signed) F. H. Már, for A. C. S. F. Henderson, Esq., Secretary Chamber of Com-
merce. MINUTE TO BE CONVEYED TO THE CHAMBER OF COMMERCE ON THET LETTER OF
THE 1ST OF MAT.
I am not clear as to the object of sending this letter at the present moment. Though no doubt the Committee of the Chamber has approved an official report of the facts contained in it, I question much whether an assembled meeting of the Committee considered the matter so press. ing as to be thrust on the Governor, by way of reply to kis recent sposch, within three days of his departure on account of ill bealth.
But whatever the cause of the action taken in their name I do not doubt that the facts adduced in this letter furnish a useful contribution to an interesting subject for the consideration of my
successor.
I have naturally no time to deal thoroughly with the question myself, but I may note-
(1)-That the payment by junks of taxes ag gregating the respectable sum of $22,397 is treated as though it should be credited to the harbour, apparently for the purpose of proving that vessels of European construction ought to pay nothing at all.
If it be urged that junks pay no light dues, my reply is that, relating to tonnage, trading junks pay far more than European vessels, even including the special Gap Rock tax about to be
remitted.
(2) That Rogistry of Boats," of "Cargo Boats," and "Cargo Boat Certificates," the work connected with which is done by the Registrar.
General
General, is considered by the writer as not part of the ordinary taxation of the colony" (such as for instance the proceeds of jiuricksha licences) but go to make up a fund which ought to be specially credited to the Harbour.
It would seem less unreasonable to debit a number of other items for service to shipping as, for instance (such as occur to me at once). vía, (1), a portion of the cost of the Waterworks in respect of the water taken by ships, and (2) a portion of the salaries of the officers of almost every Public Department, besides (for the reason above indicated) those of the Registrar-General's Office, from the Governor, who occasionally (as in the case of the cargo boat strike) is largely occupied with barbour questions and bas to desi daily with a considerable number of harbour papers, down to the Sikh policoman who takes ebarge of drunken sailora.
I think it also worthy of note by my successor that the present tonnage on shipping, including the special rate to be remitted when the Gap Rock light is paid for, are only 2 cents per ton, and that if they were to be increased up to 5 cents per ton, an increase not in the least likely to be required,Hongkong would only then be level with Singapore in respect of har- bour charges (where the ordinary rates are 3 couts per ton and 2 cents additional for the Basses Book light on vessels going westward), which port is, I understand, next to Hongkong, the cheapest in the world.
No one would deplore an incroase of taxation in Rougkong more than mysolf, and I have merely suggested us worth consideration, if such unhappy necessity should arise, whether the weight ought not to fall rather upon the non- local shipping than apon the ratepayers.
The effect ou trade in the latter case would be certain, but in the former would, I am inclined to think, he almost inappreciable, if it be true, as I am informed, that the tonnage dues levied at the Ports of China fall upon large vessels with a weight fron 15 to 20 times greater than the rates charged in Hongkong, thus rendering "a negligeable quantity" the risk of a transfer elsewhere of this distributing centre.
(Sd.) G. WM. DES Vœux. Hongkong, 7th May, 1891.
668
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