TNAG-0453-FCO40-518-Budget-of-Hong-Kong-1974-1975-1975 — Page 226

THE VARIOUS MEANS BY WHICH THE ADDITIONAL HK DOLLARS

2,040 MILLION COULD BE FOUND INCLUDE

TIGHTENING FINANCIAL CONTROL

- REVISING FEES AND CHARGES FOR GOODS AND SERVICES

NOT (REPEAT NOT) RUNNING COVERNMENT PUBLIC UTILITIES AT

A LOSS

REVISING THE CENTRAL RATE CHARGE TO COMPENSATE FOR LOSS OF REVENUE THROUGH DELAYS IN COMPLETING REVALUATIONS

TAPPING HONG KONG'S RESERVES OF TAXIBILITY

REALISING MAXIMUM ADVANTAGE FROM THE MAIN SOURCE OF

CAPITAL REVENUE, LAND

· RAISING LOANS AS APPROPRIATE AND POSSIBLE.

PART V : REVENUE PROPOSALS FOR 1974-75

BUDGETARY STRATEGY

9

BECAUSE THE EFFECT OF THE OIL CRISIS ON THE ECONOMY IS UNCERTAIN, THE GOVERNMENT SHOULD SEEK IN 1974-75 TO BALANCE

REVENUE AND EXPENDITURE.

REVENUE PROPOSALS

(A)

(B)

(C)

(D)

TO FINANCE EXPENDITURE: DUTIES ON LIQUORS AND TOBACCO RAISED BY ABOUT 25 PER CENT (YIELDING AN EXTRA HK DOLLARS 24 MILLION),

TO WIDEN TAX BASE FOR RATEABLE AREAS IN THE NEW TERRITORIES, GENERAL RATE CHARGE RAISED FROM 11 PER CENT TO 15 PER CENT AND PROPERTY TAX INTRODUCED INTO THE

AREAS IN THE NEW TERRITORIES RATED (YIELDING AN EXTRA, HK DOLLARS 23 MILLION)

蹲

TO REFORM TAX SYSTEM : VACANT PREMISES EXEMPTED FROM TAXATION: SURCHARGES FOR LATE PAYMENTS INCREASED. TO ACHIEVE RAX RELIEF : ALLOWANCES FOR DEPRECIATION OF PLANT AND MACHINERY IMPROVED : EXEMPTION LIMIT FOR ESTATE DUTY RAISED FROM HK DOLLARS 200,000 TO HK DOLLARS 300,000 : AND CERTAIN OTHER CHANGES OF MINOR SIGNIFICANCE TO THE REVENUE INTRODUCED (AT A COST TO THE REVENUE ALTO GO THER OF HK DOLLARS 31 MILLION).

/(E) TO

4.

*