91
strong representations received the committee recommended an
allowance of $200 for each subsequent child but suggested
that the total allowances in respect of children should be
limited to $7,000. These children's allowances and the rate
of personal allowance and of the allowance for a wife may
seem extremely high when judged by European standards, but I
am satisfied that under the conditions now obtaining in
Hong Kong they are not unduly generous. In East Africa and
Southern Rhodesia the allowance for a husband and wife was
reduced during the war to £500, which is equivalent to $8,000.
If the relative cost of living and the added expense caused
by the housing shortage are taken into consideration, the
Hong Kong figure of $12,000 is by no means too high.
18.
The Bill passed its first reading on the 24th April
without a division, but up to a few days before the second
reading which was fixed for the 1st May, it seemed very
probable that it would be necessary to use the official
majority. There were, however, last minute indications that
the fact that a 10% standard rate had been agreed to and that
the recommendations of the Morse Committee had been accepted
by Government had swayed certain sections of the public in
favour of the Bill. This appreciation of the position proved
to be correct and several Unofficial Members spoke in favour
of the Bill during the debate on the second reading.
On a
division being called, the motion was carried by thirteen
votes to three which meant that four Unofficial Members,
including one Chinese member, had voted with the Government.
19. In view of the traditional hostility of the Chinese
community towards anything in the nature of income tax and of
the deep-rooted opposition of the other communities in Hong
Kong, which had been apparent when an attempt was made to
introduce income tax before the war and which was again evident
during the past few months, I consider that this was a very
satisfactory result. The opposition has not yet been silenced,
and as far as the European community is concerned, their future
No comments yet.
Private notes are available after approval.