XN000022-1991-11-28 — Page 3

THURSDA, NOVEMBER 28, 1991

2

GOVT INTRODUCES LEGISLATION TO CURB PROPERTY SPECULATION

A BILL DESIGNED TO CURB SPECULATION IN THE RESIDENTIAL PROPERTY MARKET WILL BE GAZETTED TOMORROW (FRIDAY).

THE MOVE FOLLOWS THE ANNOUNCEMENT BY THE FINANCIAL SECRETARY ON DUTY NOVEMBER 6 THAT LEGISLATION WOULD BE INTRODUCED TO IMPOSE STAMP ON SALE AND PURCHASE AGREEMENTS.

(NO. ONLY THE

EXPLAINING THE RATIONALE BEHIND THE STAMP DUTY (AMENDMENT)

WAS NOW 4) BILL 1991, A GOVERNMENT SPOKESMAN SAID STAMP DUTY

OTHER

ON WORDS, PAYABLE

THE ASSIGNMENT OF A PROPERTY, IN ON DOCUMENT BY WHICH LEGAL TITLE TO THE PROPERTY WAS TRANSFERRED.

IT WAS NOT PAYABLE ON SALE AND PURCHASE AGREEMENTS ENTERED INTO BEFORE THE ASSIGNMENT.

"SO THERE IS NO ADDITIONAL COST INVOLVED FOR SPECULATORS BUYING ++ THE SPOKESMAN AND SELLING A PROPERTY SEVERAL TIMES BEFORE ASSIGNMENT, SAID.

OF HE ADDED THAT THIS TYPE OF SPECULATION HAD BEEN THE TARGET MUCH PUBLIC CRITICISM AND HAD CONTRIBUTED TO THE SHARP INCREASE IN THE PRICE OF RESIDENTIAL PROPERTY.

SELLERS AND

THE BILL PROPOSED THAT

PURCHASERS GENERALLY BE ON ALL REQUIRED TO PAY STAMP DUTY, ON AN AD VALOREM SLIDING SCALE, SALE AND PURCHASE AGREEMENTS FOR RESIDENTIAL PROPERTY.

PROPERTY,

LOT TO ACTIVITIES

"WHERE THERE IS A SERIES OF AGREEMENTS FOR THE SAME

A THIS WILL ADD THE AMOUNT OF DUTY PAYABLE WILL MULTIPLY.

OVERHEADS, AND SHOULD DAMP DOWN SPECULATORS'

THEIR SUBSTANTIALLY," THE SPOKESMAN SAID.

HE STRESSED THAT THE GOVERNMENT DID NOT WISH THE NORMAL OPERATION OF THE PROPERTY MARKET.

"BUT

HEATED

ΤΟ INTERFERE IN

BY

SPECULATIVE

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THE MARKET IS ARTIFICIALLY WHEN PRESSURE, WE MUST TAKE ACTION TO RESTORE THE NORMAL MARKET MECHANISM, HE ADDED.

"WE HOME-BUYERS.

ARE DETERMINED TO CURB SPECULATION SO AS TO

HELP

GENUINE

17

THE

THE SPOKESMAN SAID THE GOVERNMENT HAD CAREFULLY CONSIDERED

ΤΟ REQUIREMENT

PAY DUTY OF EXTENDING POSSIBILITY RESIDENTIAL PROPERTY.

THE

TO

NON-

IN

HAVE ON

THE

DOMESTIC RESIDENTIAL

"THE PUBLIC IS MAINLY WORRIED ABOUT SPECULATORS

THE FLATS AND PROPERTY MARKET.

EFFECTS

THEIR ACTIVITIES

"IT IS TRUE THAT THERE HAS BEEN SOME MINOR SPECULATION IN COMMERCIAL OFFICE SECTOR.

THE

/"IF THIS