CO129-582-7 Taxation 6-6-1939 - 5-2-1940 — Page 32

CO129 Colonial Office Hong Kong Records 理藩院香港檔案 All

not

in spite of its having son

advocated earner in the year on, a Taxation Clee.

including unetficials noembers

sumes that we should not want

Gor. assumes

The official majority need to force the tax through against strong opposition. One would Expect the implication to be that it will be

recessary to compromise; but the Gor. seems to think that that would not the "that it would be necessary

idea

of

32

enough,

to drop

The

income tax altogether, and with it

Can.

that of an adequate gift to HIMG. It will be seen

from (20) that the gitt templated was of the order of $7 to 8

million.

a

There is Committee which will ex- amire the Gait's proposals in detail. linfer from the tel. That this is a Select Clee. of the Lorg. Co.; not, at any rate, the Chee of The Ewropean Chamber of Commere men- tioned elsewhere.

16

appears likely that Some sort of compromise will be n

nece

necessar in the Chee, but in view of the line of criticism at 'A' above, this might begin with an adjustment of allowances exemptions & a consequent reduction in estimation yield.

There will, it appears, now be consider able delay, and the second part of (21) Consists of a request for early approval of Special local defence expenditure, with some Suggestions for meeting it on a capitat be sis seats

an advance from

علم

These are (c) raising the balance of the 1934 Loan, to liquefy the swiplus balances T (b) strengthening the latter on talurg into account the Exchange fund Susplus.

I cannot see the Treasury, agreeing to (a); and I am told that (B) was discussed not long ago an' Beanamic pp. here

[and]

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