Estimates-1966 — Page 236

228

Revised

Estimate

estimate

Difference

1965-66

1964-65

$M

SM

$M

Total Recurrent Revenue

1,294.6

1,418.7

+124.1

Internal Revenue (Estate and Excess

Stamp Duties)

40.0

35.0

5.0

Fees of Court or Office (Repayments of

Loans)

Land Sales

154.5

Colonial Development and Welfare Grants

World Refugee Year Grants

Contributions Towards Projects

BEEER

0.2

0.1

0.1

191.6

+ 37.1

1.8

0.2

1.6

1.3

1.5

+ 0.2

4.8

4.3

0.5

Total Revenue

1,497.2

1,651.4

+154.2

HEAD 1 DUTIES

Estimate 1965-66

Revised estimate 1964-65

Approved estimate 1964-65

Actual revenue 1963-64

$267,000,000

247,300,000

237,500,000

225,494,014

The revised estimate for 1964-65 shows an increase of $9,800,000 over the approved estimate and the estimate for 1965-66 shows a further increase of $19,700,000 over the 1964-65 revised figure. All revenue sub-heads share in the increase, but the main contributions come from import duties on intoxicating liquor due to higher consumption, and import duties on hydrocarbon oils as a result of the steady increase in the number of road vehicles, stepping up of construction work and building activities, and the general increase in the production of electricity, all of which have boosted consumption of motor spirit, motor diesel oil and furnace oil.

HEAD 2 — RATES

Estimate 1965-66

Revised estimate 1964-65 Approved estimate 1964-65

Actual revenue 1963-64

$192,800,000

164,600,000

156,100,000

144,775,102

The substantial increase of $36,700,000 in the estimate for 1965-66 compared with the approved estimate for 1964-65 is due partly to the expansion of private building development over the last year, especially in Kowloon and New Kowloon districts and also to the revaluation of property currently being undertaken.

HEAD 3 · INTERNAL REVENUE

Estimate 1965-66 Revised estimate 1964-65

Approved estimate 1964-65 Actual revenue 1963-64

$510,000,000

482,400,000

424,100,000

418,211,533

The estimate for 1965-66 shows increases of $85,900,000 over the approved estimate for 1964-65 and $27,600,000 over the revised estimate for 1964-65. The marked difference is mainly due to the large increases under "Earnings and Profits Tax", "Stamp Duties" and "Estate Duty". As a result of the continu- ance of good trading conditions more taxpayers will pay on higher profits and large incomes. "Estate duty" is not susceptible to accurate estimating and the substantial increase for the current year is due mainly to two large assessments. The increase in Stamp revenue is mainly attributable to increased numbers of Assignments, Legal Documents and Bills of Exchange/Promissory Notes.

HEAD 4-LICENCES AND FRANCHISES

Estimate 1965-66

Revised estimate 1964-65

Approved estimate 1964-65

$74,196,000

72,703,000

68,698,000

69,510,365

Actual revenue 1963-64

The estimate for 1965-66 and the revised estimate for 1964-65 both show increases over the approved estimate for 1964-65 due mainly to more licences issued for vehicles and drivers, and increased royalty payments by Cable & Wireless, Ltd. as a result of a new Licence granted to the firm. These increases are off-set to a certain extent by reduction of royalty to be paid by the H.K. Telephone Co., Ltd. as the basis of royalty calculations for this firm was revised as from 1964.