XN000022-1985-02-27 — Page 30

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WEDNESDAY, FEBRUARY 27, 1985

MUCH OF THE REVENUE FOR THE NEW YEAR WILL BE FORTHCOMING WITHOUT ANY ADJUSTMENT TO EXISTING FEE AND CHARGE LEVELS, HE SAID.

IN ADDITION, HOWEVER, TO THE PROPOSED INCREASE IN BUSINESS REGISTRATION FEES (FROM $350 TO $500), APPROXIMATELY $415 MILLION MUST BE FOUND ELSEWHERE.

+I EXPECT TO RAISE $220 MILLION THROUGH DEPARTMENTAL REVIEWS CURRENTLY UNDER CONSIDERATION, INCLUDING WATER SUPPLIES, MARINE, CUSTOMS AND EXCISE AND THE REGISTRAR GENERAL'S DEPARTMENT.

+THE REMAINING $195 MILLION WILL BE DERIVED FROM RELATIVELY SMALL INCREASES IN THE FOLLOWING: POSTAL AND TELECOMMUNICATION FEES AND CHARGES- TOLLS FOR GOVERNMENT-OPERATED TUNNELS VEHICLE AND DRIVING LICENCES AND PASSENGER EMBARKATION FEES AND BERTHING FEES FOR MACAU FERRY SERVICES+.

SIR JOHN SAID HE HAD MENTIONED IN LAST YEAR'S BUDGET THAT A COMPUTERISED SYSTEM HAD BEEN ESTABLISHED TO PROVIDE ASSISTANCE IN THE REGULAR UPDATING OF ALL GOVERNMENT FEES AND CHARGES. IT HAD WORKED WELL AND MOST FEES AND CHARGES HAD NOW BEEN REVIEWED AND DULY UPDATED. + IT IS ESSENTIAL TO MAINTAIN THE YIELD IN REAL TERMS IF WE ARE TO CONTINUE WITH LOW RATES OF DIRECT TAXATION, HE SAID.

IN 1981-82, SIR JOHN SAID, REVENUE FROM GOVERNMENT UTILITIES AND FEES AND CHARGES REPRESENTED NINE PER CENT OF THE TOTAL REVENUE. THIS YEAR THE PERCENTAGE HAD INCREASED TO 14 PER CENT AND HE EXPECTED IT TO INCREASE TO 17 PER CENT BY 1987-88, 'AS WE PROGRESSIVELY UPDATE'.

HE WENT ON +GIVEN THE GROWING IMPORTANCE THAT REVENUE FROM THIS SOURCE IS ASSUMING IN THE OVERALL BUDGET STRATEGY, WE WILL ENDEAVOUR TO MAINTAIN OR IMPROVE THE REAL YIELD THROUGH MORE FREQUENT BUT SMALLER INCREASES. SUDDEN SHOCKING INCREASES ARE RIGHTLY UNPOPULAR,

+WE ARE ALSO MOVING FROM REVIEWS OF ISOLATED ITEMS TOWARDS MAJOR DEPARTMENTAL REVIEWS WHEREBY CONTROLLING OFFICERS ARE ENCOURAGED TO CONSIDER VALUE FOR MONEY AND TO TAKE THE INITIATIVE IN PROPOSING RATIONALISED PACKAGES FOR ESTABLISHING THE IR FEES AND CHARGES IN THE CONTEXT OF OVERALL GOVERNMENT POLICY. SHOULD BE PAID FOR BY THOSE WHO USE THEM+.

SERVICES

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