CO129-540-3 Death gratuity- liability to estate duty 10-5-1932 - 23-5-1932 — Page 5

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END

REQMSUN

91661

TELEGRAM from the officer Adminsiroting the Government

1 OMAY 1932

COL OFFIOL

80308/31 (i'm cire) fly below.

52797/28 HK cire

Gust, tt, 20/5732.

of Hong Kong to the Secretary of State for

Dated 10th. May.

the Colonies.

(Roueived Colonial Office 11.45 a,m. 10th May 1932).

No.96 Confidential.

or

80308

Your despatch of 6th. February Confidential

Pension Bill. Questionhas arisen whether death

gratuity is liable to estate duty. I am advised

that although no pension aptin✰ gratuity can be

olaimed as of rightand death gratuity is therefore

placed in discretion of Governor in Council, sigiki

eligibility therefore is nevertheless something

valuable passing at death and so liable to duty.

This view is supported by paragraph 7 of Mr Amery" z

confidential despatch of 17th September 1928 where

disposal by will is mentioned, If exemption is in

order draft Bill gan be amended to deolare exemption

so far as local estate duty is congerned but I shall

be glad to know practice in other Colonies also

position where estate is in United Kingdom,

92648