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WEDNESDAY, APRIL 8, 1992
FIRST, IT WOULD RESULT IN THE ABOLITION OF DUTY ON SOFT DRINKS. THIS MEASURE WOULD COST THE GENERAL REVENUE ABOUT $230 MILLION A YEAR.
MR MACLEOD POINTED OUT THAT THE BEVERAGE MANUFACTURERS ASSOCIATION OF HONG KONG HAD WRITTEN TO HIM SINCE THE INTRODUCTION OF THE APPROPRIATION BILL, CONFIRMING THEIR EARLIER UNDERTAKING TO PASS ON THE BENEFIT OF THIS CONCESSION TO CONSUMERS.
SECONDLY, CLAUSE 6 OF THE BILL WOULD INCREASE THE DUTY RATES ON LIQUOR, TOBACCO AND FUEL.
THE FINANCIAL SECRETARY EMPHASISED THAT THESE WERE NOMINAL INCREASES ONLY, DESIGNED TO MAINTAIN THE VALUE OF THE DUTY IMPOSED IN LINE WITH INFLATION.
"I HAVE DELIBERATELY AVOIDED ANY INCREASES IN REAL TERMS. FOR THAT REASON, THOSE DUTY RATES WHICH ARE SET ON AN AD VALOREM BASIS HAVE REMAINED UNCHANGED, HE SAID.
THIRDLY, THE FINANCIAL SECRETARY SAID A NUMBER OF THE CLAUSES OF THE BILL WERE DESIGNED TO GIVE LEGISLATIVE EFFECT TO THE BUDGET - PROPOSAL THAT DUTY BE PAID ON LIGHT DIESEL OIL USED BY PLEASURE CRAFT, WITH EFFECT FROM JUNE 1, 1992.
"THE PRESENT EXEMPTION FROM DUTY ON FUEL ARISES FROM PROVISIONS IN THE DUTIABLE COMMODITIES ORDINANCE WHICH DATE BACK TO A TIME WHEN PLEASURE VESSELS WERE RELATIVELY FEW IN NUMBER.
TO
"ALTHOUGH PETROL USED BY PLEASURE CRAFT IS ALREADY SUBJECT DUTY, MOST PLEASURE CRAFT ARE NOW ABLE TO USE DUTY-FREE DIESEL FUEL, HE SAID.
**
THE ENDING OF THIS INEQUITABLE DISTINCTION SHOULD INCREASE GENERAL REVENUE BY ABOUT $80 MILLION A YEAR, THE FINANCIAL SECRETARY SAID.
CLAUSES 6(H) AND 15(6) OF THE BILL WOULD GIVE EFFECT TO THE BUDGET PROPOSAL TO EXEMPT FRANCHISED BUS COMPANIES COMPLETELY FROM THE DUTY ON DIESEL FUEL.
UNDER THE SCHEMES OF CONTROL, THIS CONCESSION WOULD AUTOMATICALLY BE REFLECTED IN FUTURE ADJUSTMENTS TO BUS FARES, THE FINANCIAL SECRETARY SAID.
A YEAR.
THE PROPOSAL WOULD COST THE GENERAL REVENUE ABOUT $190 MILLION
STAMP DUTY (AMENDMENT) (NO. 3) BILL 1992
THE STAMP DUTY (AMENDMENT) (NO. 3) 1992 BILL SEEKS TO GIVE LEGISLATIVE EFFECT TO TWO PROPOSALS IN THE 1992-93 BUDGET.
/MOVING THE
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