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Friday, June 2, 1972

INLAND REVENUE (AMENDMENT) (NO. 2) BILL 1972

An amending bill to confirm as a permanent feature of the law

certain powers introduced in 1969 on a trial basis in combating tax evasion,

as well as to reinforce these powers, will be introduced into the Legislative

Council shortly.

The Inland Revenue (Amendment) (No. 2) Bill 1972, published in

today's Government Gazette for general information, also seeks to implement

some residual minor recommendations of the Inland Revenue Ordinance Review

Committee.

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two sections Sections 51A and 51B

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The Bill proposes to give permanent effect to the operation of

which had been added to the principal

Ordinance in 1969 for the purpose of facilitating the detection of tax evasion.

Section 51A empowers the Commissioner of Inland Revenue to require

a statement of assets and liabilities from a person, if he opines that the

person has made, without reasonable excuse an incorrect return or supplied

false information with a view to understating his assessable income or profits.

Section 51B empowers a magistrate to issue a search warrant on

application by the Commissioner or an authorised officer, if he is satisfied

that a person has not submitted a return when required by the Commissioner, or

that a person has made an incorrect return or supplied false information

with the intention of evading tax.

A Government spokesman said that these two sections had been well

tested during their trial period and that they had proved to be most useful

and effective.

The Bill