XN000022-1994-06-17 — Page 5

FRIDAY, JUNE 17, 1994

WAS

ALSO SPEAKING AT THE PRESS CONFERENCE, PRINCIPAL ASSISTANT SECRETARY FOR THE TREASURY, MRS JESSIE TING, SAID THE NEW SCHEME BASICALLY REVENUE NEUTRAL. THE OBJECTIVES ARE:

*

TAX

* TO PROTECT PUBLIC REVENUE BY PREVENTING TAX AVOIDANCE;

TO CLARIFY WHO IS LIABLE TO PAY THE FIRST REGISTRATION AND TO ENABLE THE GOVERNMENT TO ENFORCE THE LAW MORE EFFECTIVELY;

*

*

TO CREATE A "LEVEL PLAYING FIELD" FOR MOTOR VEHICLE DISTRIBUTORS AND TO GUARD AGAINST THE POSSIBILITY OF INDIVIDUAL DEALERS ENJOYING AN UNFAIR ADVANTAGE; AND

ΤΟ ALLOW THE PUBLIC TO KNOW CLEARLY THE AMOUNT OF FIRST REGISTRATION TAX THEY ARE PAYING AND THE BASIS ON WHICH IT IS CALCULATED,

SHE SAID AFTER THE NEW SCHEME WAS FULLY IMPLEMENTED ON AUGUST PAYMENT OF ADDITIONAL FIRST REGISTRATION TAX WOULD BE REQUIRED IN THE FOLLOWING CIRCUMSTANCES:

1,

*

*

FITTING OF ACCESSORIES TO THE VEHICLE WITHIN THREE MONTHS AFTER FIRST REGISTRATION;

AFTER FIRST REGISTRATION OF A VEHICLE, THERE ARE CHANGES OR ALTERATION TO

USE,

THE CLASS OF THE VEHICLE BY REASON OF A CHANGE OF FOR EXAMPLE, FROM PRIVATE CAR TO VAN-TYPE GOODS VEHICLE;

THE OWNER STATUS, FOR EXAMPLE, FROM A EXEMPTION FROM TAX PAYMENT TO ANOTHER SUCH EXEMPTION;

PERSON ENJOYING PERSON WITHOUT

THE CLASS OF ADDITIONS TO THE CHASSIS OR CAB AND CHASSIS WHICH IS ATTRIBUTABLE TO THE INCREASE IN THE VALUE OF THE VEHICLE; AND

SELLING A VEHICLE AT A PRICE HIGHER THAN THE AGGREGATE OF THE LAST TAXABLE VALUE OF THE VEHICLE, EXEMPTED ACCESSORIES, WARRANTY OTHER THAN A MANUFACTURER'S WARRANTY AND THE FIRST REGISTRATION TAX PAID.

SPEAKING AT THE SAME PRESS CONFERENCE, ASSISTANT COMMISSIONER CUSTOMS AND EXCISE, MR TONG HIN-YEUNG, SAID THERE WERE PROVISIONS IN THE AMENDMENT ORDINANCE FOR 17 KINDS OF OFFENCES.

OF

EXAMPLES ARE FAILING TO REGISTER AS AN IMPORTER OR DISTRIBUTOR, FAILING TO DELIVER PUBLISHED RETAIL PRICE LIST IN THE MANNER REQUIRED, FILING FALSE OR INACCURATE IMPORT RETURNS, FAILING то PAY FIRST REGISTRATION TAX.

THE MAXIMUM PENALTY IS A FINE OF $500,000 AND IMPRISONMENT FOR 12 MONTHS.

/"FOR OFFENCES