XN000022-1984-05-25 — Page 10

9

ON

FRIDAY, MAY 25, 1984

BILL PROVIDES FOR LIQUOR DUTY CALCULATION

***

AMENDMENT LEGISLATION TO IMPLEMENT THE AD VALOREM DUTY ON CERTAIN EUROPEAN-TYPE LIQUOR ANNOUNCED IN THE BUDGET IS PUBLISHED IN THE GOVERNMENT GAZETTE TODAY, UNDER THE DUTIABLE COMMODITIES (AMENDMENT) BILL 1984.

A RESOLUTION UNDER SECTION 4 OF THE DUTIABLE COMMODITIES ORDINANCE WILL ALSO BE MOVED IN THE LEGISLATIVE COUNCIL.

DETAILS OF THE BILL AND THE RESOLUTION WERE PUBLISHED UNDER PUBLIC REVENUE PROTECTION ORDERS ON FEBRUARY 29.

A GOVERNMENT SPOKESMAN RECALLED THE FINANCIAL SECRETARY HAD SAID IN HIS 1984 BUDGET SPEECH, THAT THERE SEEMED TO BE NO REASON WHY PURCHASERS OF CHEAPER BRANDS IN A CLASS OF DRINKS SHOULD PAY THE SAME DUTY PER BOTTLE AS THAT IMPOSED ON A MORE EXPENSIVE BRAND. SIR JOHN PROPOSED MODIFYING THE EXISTING DUTY SYSTEM BY APPLYING A UNIFORM REDUCTION OF ABOUT 10 PER CENT TO THE CURRENT SPECIFIC DUTY RATES, COUPLED WITH THE IMPOSITION OF A UNIFORM AD VALOREM DUTY RATE OF 20 PER CENT.

THE DUTIABLE COMMODITIES (AMENDMENT) BILL SPELLS OUT HOW LIQUOR SHOULD BE VALUED FOR DUTY PURPOSES.

IT ALLOWS THE CUSTOMS AND EXCISE SERVICE TO REQUIRE THE PRODUCTION OF DOCUMENTS RELATING TO THE VALUE OF DUTIABLE GOODS.

UNDER THE BILL, THE COMMISSIONER OF CUSTOMS AND EXCISE HAS THE AUTHORITY UNDER CERTAIN CIRCUMSTANCES TO FIX A VALUE FOR DUTY PURPOSES AND THERE IS PROVISION FOR AN APPEAL AGAINST HIS DECISION TO THE GOVERNOR.

ANOTHER BILL PUBLISHED TODAY, THE DUTIABLE COMMODITIES (AMENDMENT) (NO. 2) BILL, REDUCES THE MINIMUM REQUIRED STRENGTH OF WHISKY AND RUM FROM 43 PER CENT TO 42 PER CENT OF ETHYL ALCOHOL BY VOLUME. THIS IS TO CORRECT A TECHNICAL ERROR FOLLOWING THE METRICATION OF THE DUTIABLE COMMODITIES ORDINANCE.

THE AMENDMENT LEGISLATION WILL BE INTRODUCED INTO THE LEGISLATIVE COUNCIL ON MAY 30 AND THE THIRD READING HAS BEEN SCHEDULED FOR JUNE 13.

/10

Page 10Page 11