XN000022-1984-03-28 — Page 6

WEDNESDAY, MARCH 28, 1984

- 5

+BUT I DISAGREE THAT THOSE EARNING $500 000 P.A. OR MORE WILL ONLY BE REQUIRED TO PAY THE SAME 17 PER CENT TAX AS THOSE EARNING ONLY $250 000 P.A., HE ADDED.

USING AS AN EXAMPLE A MARRIED COUPLE WITH NO CHILD AND NO DEPENDENT PARENT, HE SAID, +1 PROPOSE THAT THEY WILL CONTINUE TO PAY 15 PER CENT STANDARD RATE IF THEIR INCOME IS $190 000 P.A. (1.E. THE EXISTING THRESHOLD), THEY WILL PAY 16 PER CENT STANDARD RATE IF THEIR INCOME RISES TO $237 500 P.A. AND 17 PER CENT ONLY ON REACHING $290 000 P.A.+

DR FANG

FOR THOSE WITH HIGHER INCOME, I.E. ABOVE $340 000 P.A., PROPOSED A HIGHER STANDARD RATE OF 18 PER CENT, WHICH WOULD BE THE MAXIMUM.

+THESE PROGRESSIVE DIFFERENTIAL STANDARD RATES WILL MORE EQUITABLY REFLECT THE OBJECTIVE OF OBTAINING THE REQUIRED ADDITIONAL REVENUE FROM THOSE WHO ARE 'BEST PLACED TO AFFORD IT' AND I THINK IT WILL NOT RESULT IN ANY LOSS OF REVENUE, + DR FANG CONCLUDED.

EARLY APPROVAL SOUGHT FOR VOCATIONAL PROJECTS

****

THE VOCATIONAL TRAINING COUNCIL WAS SEEKING EARLY APPROVAL OF THE COMMITMENTS NEEDED FOR THE SHA TIN AND TUEN MUN TECHNICAL INSTITUTES, DR THE HON FRANCIS TIEN SAID IN THE LEGISLATIVE COUNCIL ANNUAL BUDGET DEBATE TODAY.

ME POINTED OUT THAT THE PLANNING OF THE PROJECTS WAS AT A VERY ADVANCED STAGE IN THAT TENDERS HAD BEEN RECEIVED SOME TIME AGO FOR THE FOUNDATIONS OF THE INSTITUTES AND THE VOCATIONAL TRAINING COUNCIL'S CONSULTANT ARCHITECTS WERE AT A POINT WHERE THEY WERE READY TO INVITE TENDERS FOR THE SUPERSTRUCTURE.

THE VOCATIONAL TRAINING COUNCIL (VTC) HAD BEEN TOLD THAT THE FINANCE COMMITTEE WOULD BE ASKED TO APPROVE INCREASED COMMITMENTS FOR THE TWO INSTITUTES ONCE THE GOVERNMENT HAD SATISFIED ITSELF THAT THE BUILDING COSTS WERE REASONABLE AND ACCEPTABLE.

THE VTC MAD THE JOB OF BRINGING THE INSTITUTES INTO BEING, EITHER PARTIALLY OR WHOLLY, BY THE BEGINNING OF THE 1985-86 SESSION AND WAS GETTING VERY ANXIOUS THAT IT COULD NOT PROGRESS THE PROJECTS FURTHER, DR TIEN OBSERVED.

+IT WANTS TO KNOW WHAT WOULD HAPPEN IF AT THIS LATE STAGE, THE GOVERNMENT IS NOT SATISFIED. FOR WHATEVER REASON. THAT THE BUILDING COSTS ARE REASONABLE AND ACCEPTABLE, HE SAID.

/HE SAID