TNAG-0298-FCO40-334-Entitlement-of-Hong-Kong-to-generalized-tariffs-preferences--1971 — Page 44

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

CONFIDENTIAL

TOBACCO) IT IS LOWER THAN THE GENERAL RATE, AND THE LOCAL PRODUCT GENERALLY PAYS DUTY AT THE C.P. RATE. THE ONLY CASES OF SPECIAL PREFERENCE, ACCORDED TO DOMESTIC MANUFACTURERS ARE EXPLICITLY FOR BEER AND IMPLICITLY FOR TOBACCO MANUFACTURES THROUGH DIFFERENTIAL RATES FOR UNMANUFACTURED AND MANUFACTURED TOBACCO (CIGARETTES MANUFACTURED DOMESTICALLY FROM DUTY-PAID LEAF BEING LIABLE TO NO FURTHER DUTY).

(B) THE ONLY OTHER CASE IN WHICH A DUTY AKIN TO AN IMPORT DUTY IS LEVIED IS THE COMMONWEALTH PREFERENCE TAX, LEVIED ON THE FIRST REGISTRATION (NOT IMPORTATION) OF MOTOR VEHICLES. NOT MAN-

UFACTURED IN THE COMMONWEALTH.

E I CANNCT SEE WHAT RELEVANCE MOST OF THESE DETAILS HAVE TO HONG KONG'S STATUS. IN THAT CONNECTION SURELY THE IMPORTANT POINTS ARE THAT WE ARE FINANCIALLY SEPARATE AND HAVE A SEPARATE LEGISLATURE WHICH RAISES REVENUE, DETERMINES EXPENDITURE, IETERMINES RATES OF TAXATION GENERALLY (NOT JUST THOSE REFERRED TO IN PARA. 5 ABOVE,), WITHOUT REFERENCE TO YOU.

7. I CAN SEND COPIES OF RELEVANT LEGISLATION (PARA 5(A) AND (B) ABOVE) TO TOKYO IF REQUIRED.

8. PARA. 1 OF TOKYO TELEGRAM 251 TO YOU. COULD TOKYO TELL US WHAT QUESTIONS WERE ASKED IN THE DIET AND WHAT PROMPTED THEM?

+

TRENCH

INTERNATIONAL TRADE DISTRIBUTION

מית

HKD

-2-

CONTENT A

COPY TO

MR D SELLARS

HONG KONG GOVT OFFICE

=

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