XN000022-1987-05-27 — Page 16

WEDNESDAY, MAY 27, 1987

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MOVE TO SIMPLIFY ID CARD RENEWAL WELCOMED

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THE HON HILTON CHEONG-LEEN SAID TODAY (WEDNESDAY) HE WELCOMED THE GOVERNMENT'S UNDERTAKING THAT PROCEDURES WILL BE MADE AS SIMPLE AS POSSIBLE SO THAT PERSONS RETURNING TO HONG KONG AND RENEWING THEIR IDENTITY CARDS WOULD NOT BE REQUIRED TO MAKE ANY DECLARATION ABOUT WHETHER THEY POSSESSED FOREIGN PASSPORTS.

HE WAS SPEAKING DURING THE RESUMED DEBATE OF THE REGISTRATION OF PERSONS (AMENDMENT) BILL 1987, WHICH SEEKS TO REPEAL REGULATION 17 OF THE REGISTRATION OF PERSONS REGULATIONS WHICH REQUIRES CERTAIN IMMIGRANTS TO SURRENDER THEIR IDENTITY CARDS WHEN EMIGRATING FROM HONG KONG IN THE LEGISLATIVE COUNCIL.

AS THE NUMBER OF PEOPLE EMIGRATING FROM HONG KONG SHOWED NO INDICATION OF DECREASING WITHIN THE NEXT FEW YEARS, MR CHEONG-LEEN URGED THE ADMINISTRATION TO MAKE IT CLEAR IN THEIR OVERSEAS PUBLIC RELATIONS PROGRAMME THAT SUCH PEOPLE WERE WELCOMED TO RETURN TO HONG KONG AT ANY TIME TO CONTRIBUTE TO HONG KONG'S ECONOMIC VIABILITY AND PROSPERITY.

+AND PROVIDING THEY MEET THE CONDITIONS OF THE RIGHT OF ABODE THEY WILL BE ISSUED WITH A PERMANENT IDENTITY CARD WITH MINIMUM RED TAPE AND DELAY, HE SAID.

BILL AMENDED TO CLEAR DOUBTS

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THE PURPOSE OF AN AMENDMENT TO THE INLAND REVENUE (AMENDMENT) BILL 1987 IS TO MAKE CLEAR THAT ANY CONSIDERATION RECEIVED FOR THE TRANSFER OF A RIGHT TO A STREAM OF TAXABLE INCOME IS ITSELF CHARGEABLE, THE FINANCIAL SECRETARY, THE HON PIERS JACOBS, SAID TODAY (WEDNESDAY).

MOVING AN AMENDMENT TO THE BILL DURING THE COMMITTEE STAGE IN THE LEGISLATIVE COUNCIL, MR JACOBS SAID THE AMENDMENT PUT BEYOND DOUBT THAT THIS CONSIDERATION WAS TAXABLE IN THE HANDS OF THE TRANSFEROR NOTWITHSTANDING THE EXCLUSION ON PROF ITS ARISING FROM THE SALE OF CAPITAL ASSETS CONTAINED IN THE GENERAL CHARGING PROVISION OF THE ORDINANCE.

HE SAID THAT THE NEW SECTION 15A, CONTAINED IN CLAUSE 4 OF THE BILL, WAS INTENDED TO COUNTER THE SO-CALLED +MYER+ TYPE TAX AVOIDANCE SCHEMES BY BRINGING TO CHARGE CONSIDERATION RECEIVED FOR THE TRANSFER OF THE RIGHT TO A STREAM OF TAXABLE INCOME.

+HOWEVER, FOLLOWING THE PUBLICATION OF THE BILL, THE VIEW HAS BEEN EXPRESSED THAT THE PROPOSED SECTION 15A, AS PRESENTLY DRAFTED, MAY NOT ACHIEVE ITS DESIRED OBJECT AND WILL LEAD TO DISPUTES OVER ITS EFFECT,+ HE ADDED.

/IT HAD