CO129-515-3 Tobacco (Amendment) Ordinance- 1929 28-1-1929 - 11-3-1929 — Page 28

20

HONG KONG LEGISLATIVE COUNCIL.

12. Clause 5, which is based upon section 15 of the English Act 3 and 4 Vict. c. 18, imposes penalties for fraudulently attempt- ing to obtain drawbacks. It also provides for the recovery of sums forfeited.

13. Clause 6 of this Ordinance amends section 2 of the principal Ordinance as follows:-

(i) by the insertion of a new definition of "dutiable tobacco" in section 2 (a) so as to make it clear that tobacco, as defined by paragraph (n), if re-imported, must pay duty again.

(ii) by an alteration in sub-section (c) thereof which simplifies

the definition of the word "export."

14. Clause 7 of this Ordinance, which amends section 6 of the principal Ordinance, introduces the new system of duty and new scale of duties. It is no part policy of this Ordinance to increase the rate of duty on tobacco generally, though of course the introduction of the new system necessarily involves individual variations of duty. The proposed new section 6 (2) is a temporary provision dealing with the tobacco present at the commencement of the Ordinance on the licensed premises of the holders of manu- facturer's licences. At present the duty on such tobacco is not payable until removal from the licensed premises, but under the new system duty is payable on the importation of the raw leaf and manufacture in bond will be no longer possible. The Superinten- dent is therefore given authority to estimate the amount of tobacco on any manufacturer's licensed premises at the commencement of the Ordinance, and to classify it as unmanufactured tobacco or as manufactured tobacco. In the case of such manufactured tobacco he will also estimate the weight of unmanufactured tobacco from which the manufactured tobacco was produced, and the duty will be payable on the weight so estimated. Paragraph (a) of sub- section 3 of section 6 of the principal Ordinance is repealed because exported tobacco will no longer be exempted from duty but will instead be entitled to a drawback. Through tobacco is not made absolutely exempt from duty as it might be, but if it is duly handled in accordance with the principal Ordinance the effect of section 11 of that Ordinance will be that the duty will never become payable. Sub-section (4) of section 6 of the principal Ordinance is repealed because it provided for the rate of duty to be paid on tobacco manufactured in the Colony in bond.

15. Clause 8 of this Ordinance is intended to improve the form of section 7 of the principal Ordinance. It also deals with the time of coming into operation of any resolution of Legislative Council passed under that section.

26