XN000022-1972-03-01 — Page 44

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Wednesday, March 1, 1972

PROPOSAL TO ABOLISH DUTY ON METHYL ALCOHOL

Financial Secretary And His Budget

The Financial Secretary, Mr. C.P. Haddon-Cave, proposed today to

abolish the duty on methyl alcohol as from 6 p.m. today.

Council.

He made the announcement when he presented his Budget in the Legislative

Methyl alcohol was taxed 67.50 per gallon, and in addition 28 cents for

every one per cent by which the strength by volume exceeds 25 per cent.

"The need for such r

c originally from an epidemic of cases

of adulteration of liquor with methyl alcohol, a dangerous poison, causing

deaths and injuries," Mr. Haddon-Cave said.

It had been considered neccssary to remove the financial inducement

to use methyl alcohol for adulteration of liquor by subjecting it to duty at

the same rate as for methyl alcohol, he added.

When introducing this resolution in 1957, Mr. Clarke emphasised that

the purpose of the resolution was not to increase revenue but to protect the

public.'

1

The view shared by the Secretary for Home Affairs, the Director of

Medical and Health Services, the Director of Urban Services and the Director

of Commerce and Industry, that the likelihood of methyl alcohol being used for the

manufacture of liquor rather than for duplicating fluids, printers' ink, and

such products was no longer of real concern, he said.

The loss of revenue by abolishing duty on methyl alcohol would be

about $100,000 a year, he added.

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