TNAG-1361-FCO40-1807-Hong-Kong-Hansard-reports-and-minutes-of-the-meetings-of-the-1985 — Page 245

Sir,

SPEECH BY THE HONOURABLE THE FINANCIAL SECRETARY IN LEGISLATIVE COUNCIL: WEDNESDAY 6 FEBRUARY 1985

The main purpose of the Inland Revenue (Amendment) Bill 1985, the first of two Bills amending the Inland

Revenue Ordinance to be considered this afternoon, is to

increase the effectiveness of the Board of Review of Inland

Revenue.

The Bill provides for the Board's membership to be increased from 75 to 100 and also for the number of Deputy

Chairmen to be increased from two to six. These measures

will enable more sittings to be held and should result in a marked reduction in the number of outstanding cases presently awaiting decision. The Board of Review with its hardworking members performs a most valuable function and I feel sure that these changes will be welcomed.

The Bill also brings up to date the maximum costs that unsuccessful appellants may be ordered to pay and the fee payable for a case to be stated by the Board for the opinion of the High Court. These are increased from $100 to $1,000 and from $50 to $400 respectively.

The present levels were set in 1947 and have long ago been overtaken by inflation. The $1,000 that an unsuccessful appellant may now be required to pay should help deter frivolous appeals or those being used simply to defer payment of tax.

The Bill also provides for an increase in the maximum penalty for failing to comply with a notice to supply information called for by an assessor or inspector, or to attend for examination by an assistant commissioner. This is to be increased from the 1965 figure of $2,000 to $5,000.

/Finally