CO129-596-5 Hong Kong University- Apprenticeship scheme 28-10-1948 - 23-12-1948 — Page 23

Moreover, if as a result of good work an aprentice

te receives increased wages,ne would pay still more.

thus correspondinen

tax, and receive even less total income

try to

It would be anomalous if)

amount of his

minht therefers erise

quite

hereby a keen and industrious student would received

considerably less than an ordinary student, apart from the

that he would be fetting less than the stock £30 a month one haure We feel therefore that the only way to ensure

fact

4.

that all these students receive the same amount to live on

is to calculate their allowance on net income, i.e., after

(contributim's deductions for National Health Insurance and Income Tax. As stated in the memorandum, the Scheme was based on the arrangements adopted by the Chinese Government for their

in order's Chinese students. We understand that, to ensure that all

amant receive the same

are

set, as a Standard.

these students' allowances calculated so that the

actual income tax liability which the student himsief bears is

the amount of tax taken from the wages of the lowest paid

student. e consider that the operation of a similar scheme for our students would cause many complications, and re-adjustments indred with the amout of)

might be

further students ived in this country; and the net effect

would probably be the same as our present proposal, since some apprentices

receive no wages, and others wages as low as £2.10.- a week, which

Para

would not render them liable to taxe should be glad therefore

to nave your approval for working on net wages in calculating

our supplementary allowances.

I should take this opportunity of saying that

the Inland Revenue have now agreed that the allowances

which we shall pay will be exempted from Income Tax.

Yours sincerely,

115 Amp

Natemal

Insurance Contributighed

unto

Me cadenlation

marth to bring theo

because, here again, apart from the fact

Mant

they ad

reduce

the students' kötül

helon

£30

a awrath,

there

students.

emoluments

Lind

ве

differences between the

uisance.

an dan apprentice who receives psis resmied to pay / contulutions whereas

kas need not contribute,

one who reservis no

1

580 Jr. A Cuntage tricks