XN000022-1994-03-30 — Page 43

10

WEDNESDAY, MARCH 30, 1994

"

"THIS LOOPHOLE MUST BE CLOSED, HE STRESSED.

RESPONDING TO

SLEDGEHAMMER

LEGISLATOR'S COMMENT THAT HE A TO CRACK A NUT", SIR HAMISH SAID:

WAS USING "A

"I INFER FROM THIS ANALOGY THAT SOME MEMBERS REALISE THE OF THE NUT AND FEEL THAT A SLEDGEHAMMER IS LOONING.

OF

SAID THE

SIZE

AMOUNTS OF SPECIFIC EXISTING GENERAL

WHERE TAX AVOIDANCE ARRANGEMENTS INVOLVING SIGNIFICANT REVENUE WERE

HE

ENACTMENT IDENTIFIED, LEGISLATION HAD TWO ADVANTAGES OVER THE USE OF THE ANTI-AVOIDANCE PROVISIONS OF THE INLAND REVENUE ORDINANCE.

FIRST, IT BENEFITS THE GOVERNMENT IN THAT THE EXACT PROBLEM AND COSTLY THE EXACT REMEDY CAN BE SPECIFIED, THUS REDUCING THE AMOUNT OF

BOOK. LITIGATION THAT WOULD BE REQUIRED TO BRING CASES TO

SECONDLY,

TAXPAYER, IT WOULD

HAVE

OF

FOR THE

THE BENEFIT ALLOWING BUSINESS PEOPLE TO UNDERSTAND WITH CERTAINTY THE PURPOSES FOR WHICH SERVICE COMPANIES CAN AND CANNOT BE USED.

FOR A THIS MEANS THAT SERVICE COMPANY ARRANGEMENTS WHICH ARE

CONFIDENCE, SIR BONA FIDE COMMERCIAL PURPOSE CAN BE USED WITH MORE HAMISH SAID.

PUBLIC TO BE CONSULTED ON OLD-AGE PENSION SCHEME

DOCUMENT ON THE

FEASIBILITY

A

A CONSULTATION

STUDY ON THE

AND PENSION SCHEME WILL BE ISSUED IN THE SUMMER PROPOSED OLD-AGE DECISION WILL BE TAKEN BY THE END OF THE YEAR.

THIS WAS STATED BY THE FINANCIAL SECRETARY, THE HON SIR MACLEOD WHEN CONCLUDING THE BUDGET DEBATE IN THE LEGISLATIVE TODAY (WEDNESDAY).

HAMISH COUNCIL

"I

ARE WELFARE STATE.

THAT

JUST WISH TO REASSURE MEMBERS THAT I AM AS ANXIOUS AS

OF A THIS SHOULD NOT LEAD US DOWN THE PATH

THEY

WESTERN-STYLE

"IT

LINK OUT."

AN IS ESSENTIAL THAT WE MAINTAIN DISCIPLINE THROUGH BETWEEN THE AMOUNT OF CONTRIBUTIONS AND THE BENEFITS TO BE

IRON

PAID

HE SAID AS LONG AS THE GOVERNMENT ENSURED THAT THE TWO WERE EQUAL OVER A REASONABLE PERIOD OF TIME, AND WERE

SHOULD SCHEME FROM OTHER REVENUE AND EXPENDITURE, THE PROPOSED

A BURDEN THE COMMUNITY AS A WHOLE AND NOT BECOME ΤΟ AFFORDABLE FUTURE GENERATIONS,

KEPT

AMOUNTS SEPARATE

BE TO

ON CAPITAL INVESTMENT FUND, HE SAID ALL INVESTMENTS AND MADE FROM IT WERE SUBJECT TO THE APPROVAL OF FINANCE COMMITTEE.

/HE MADE

LOANS