CO129-576-10 Estimates 1940 6-10-1939 - 22-10-1940 — Page 33

Copy.

ORIE REED ON

AC/AD: BB

XXXX CONFIDENTIAL.

1/54002/40

29/54002/40.

sir,

54002/40

RECEIVED

8 APR 1940

Government House,

Hong Kong.

11

29th March, 1940.

33

I have the honour to refer to my confidential

telegram Mo.96 of 2nd sarch, 1940, and my confidential despatch of 16th March, 1:40, and to request, in accordance with Colonial Regulation No.265, your covering approval of additional expenditure of the sum of $6,491,119 during the financial year 1940-11.

As stated in my confidential (2) despatch of 5th March, 1940, the various taxes under the ar Revenue Ordinance are expected to yield additional revenue of approximately 6,000,000 per annum or $12,000,000 over a period of two years. On this basis it is proposed to spend, durin the fifteen months of the financial year 1st January 1940, to 31st March, 1941, the above-mentioned sum of

6,491,119. I enclose for your information a copy of Finance Message No.3 of 1940-il from which it will be observed that it is considered desirable for this purpose to open under the current estimates a new Head of Expenditure to be called Head 32, ar Expenditure, with nine Sub-heads. This special war expenditure falls into three main categories, namely, the cost of the temporary ar Taxation Department, (Sub-head 1); the abnormal recurrent expensiture imposed on the Colony by war conditions (Sub-heads 2, 4, 5, 6, 7, 8 and 9); and the contribution to the Imperial Government in the

THE RIGHT HONOURABLE

MALCOLE MACDONALD. M.P.,

&c.,

8cc.