CO129-594-5 Financial Policy Directive 21-2-1945 - 6-10-1945 — Page 19

SECRET

19

54152

HONG KONG

GIVIL AFFAIRS POLICY DIRECTIVES

Revised Draft

FINANCIAL POLICY

23/6/45

In general, as and when conditions permit, revenue,

should be collected in accordance with the legislation in force

on December 24th, 1941. In due course consideration will be

given to the introduction of a general income tax.

2.

Hong Kong should remain a free port except that

Imperial Preference should be preserved on alcoholic liquors,

motor spirit, and tobacco.

3.

Japanese business monopolies should not be maintained

permanently and Japanese run lotteries should not be revived.

Minor modification in respect of licence fees made by the Japanese may be accepted at the discretion of the General Officer

Commanding.

4.

5.

The Government opium monopoly, is not to be restored.

As soon as the situation permits Budgetary Control and

estimates of revenue and expenditure should be re-established

in accordance with colonial regulations.

6.

Valid pre-occupation claims against the Government

should be met as and when they can be verified.

7.

Special arrangements should be made to examine and

deal with claims on account of war damage.

• 8.

The future currency and the treatment of Japanese

issues are de

dealt with in a separate directive.