CO129-623-8 Estimates of Expenditure- includes a report for the year ending March 1951 1-12-1949 - 31-3-1951 — Page 280

OUTWARD TELEGRAM

FROM THE SECRETARY OF STATE FOR THE COLONIES

3963

53652/50

Code

IMMEDIATE

TO HONG KONG (Sir A. Grantham)

Sent 6th March, 1950 17.45 hrs.

No 320 Confidential

Your confidential telegram No. 196.

Estimates.

I approve proposals in paragraphs 6 and 8 of your telegram that standard rate of earnings and profits tax should be raised from 10% to 15% and that payment of $5,000,000 should be made to sinking fund of Rehabilitation Loan. I will tomorrow telegraph comments on these proposals which may prove helpful during Debate on Budget.

2. I have no objection to the proposals in your paragraphs 9 and 10. In connection with the financial conference in April see my telegram No. 303.

Treasury

Lt. Col. Russell-

Edmunds.

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