XN000022-1992-04-08 — Page 8

WEDNESDAY, APRIL 8, 1992

FS INTRODUCES FOUR REVENUE-RELATED BILLS

* * * * *

REVENUE-

THE

THE

FOUR AMENDMENT BILLS WHICH SEEK TO GIVE EFFECT TO THE RELATED PROPOSALS IN THE 1992-93 BUDGET WERE INTRODUCED INTO LEGISLATIVE COUNCIL TODAY (WEDNESDAY) BY THE FINANCIAL SECRETARY, HON HAMISH MACLEOD.

THE

AND

BE

MR MACLEOD SAID RESOLUTIONS TO AMEND THE RATING ORDINANCE BETTING DUTY ORDINANCE WOULD ALSO BE NECESSARY AND THEY WOULD MOVED IN A FEW WEEKS' TIME, AFTER ADEQUATE TIME FOR DISCUSSION, AT THE SAME TIME AS DEBATES ON THE BUDGET BILLS WERE RESUMED.

MOVING THE SECOND READING OF THE INLAND REVENUE (AMENDMENT)

SOUGHT TO (NO. 3) BILL 1992, THE FINANCIAL SECRETARY SAID THE BILL GIVE LEGISLATIVE EFFECT TO TWO MAJOR BUDGET PROPOSALS.

TAX CLAUSES 2 AND 3 OF THE BILL INCREASED THE RATE OF PROFITS

BY CORPORATIONS FROM PAYABLE

16.5% TO 17.5%. THIS INCREASE #

MILLION IN APPLICABLE TO ASSESSMENTS FOR 1992-93, WOULD YIELD $850 1992-93, OR $1.6 BILLION IN A FULL YEAR.

TAX

SO

4 CLAUSE

OF THE BILL ADDED AN ADDITIONAL

OF SCALE ALLOWANCES TO THE FOURTH SCHEDULE OF THE INLAND REVENUE ORDINANCE, THAT BASIC, MARRIED PERSONS, DEPENDENT PARENT, CHILD AND SINGLE PARENT ALLOWANCES WOULD BE INCREASED.

THE TOTAL COST TO REVENUE WOULD BE $850 MILLION IN 1992-93, $1.2 BILLION IN A FULL YEAR.

OR

MR MACLEOD SAID IN HIS CONCLUDING SPEECH ON THE APPROPRIATION BILL IN THIS COUNCIL ON APRIL 1, HE POINTED OUT THAT THESE SIGNIFICANT INCREASES HAD THE EFFECT OF MAINTAINING THE REAL VALUE OF PERSONAL TAX ALLOWANCES OVER TIME.

"I ALSO SAID IN MY SPEECH ON APRIL 1 THAT IN THE NEXT BUDGET

ΤΟ INTEND

INCREASE SUBSTANTIALLY SALARIES TAX ALLOWANCES AND IMPROVE TAX BANDS.

I

TO

"THE COMBINED EFFECT OF THESE IMPROVEMENTS WOULD BE TO REDUCE FURTHER

EARNERS, EFFECTIVE RATES OF TAX PAID BY MIDDLE-INCOME THE WHICH ARE ALREADY LOW BY ANY INTERNATIONAL STANDARDS.

IF

OUR

AND

"BUT I MUST REITERATE THAT SUCH MEASURES WILL ONLY BE POSSIBLE AMONG FORECAST. FINANCIAL POSITION CONTINUES TO BE AS OTHER THINGS THIS MEANS THE PASSING OF ALL THE REVENUE MEASURES IN THE PRESENT BUDGET," HE SAID.

DUTIABLE COMMODITIES (AMENDMENT) BILL 1992

MOVING THE SECOND READING OF THE DUTIABLE COMMODITIES (AMENDMENT) BILL 1992, THE FINANCIAL SECRETARY SAID THE BILL HAD MAIN PURPOSES.

FOUR

/FIRST, IT