1929-03-01 — Page 2

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THE HONGKONG TELEGRAPH, FRIDAY, MARCH 1, 1929.

THE LEGISLATIVE

COUNCIL!

GOVERNMENT AND THE HSIN WAH DISASTER. TOBACCO TAXES.

Five new Bills were introduced at yesterday's meeting of the Legislative Counell, including one relating to changing the system of taxation on tobacco,

His Excelloney the Governor presided over the meeting and' thore were also present!

His Excellency the General Officer Commanding the Troops (Major General C. C. Laard, C.B., C.M.G.).

The Colonial Secretary (Hon. Mr. W. T. Southorn, C.M.G.). The Attorney General (Hon. Sir Josoph Kemp, K.C.).

The Colonial Treasurer (Hon. Mr. C. Mel. Messer, O.B.E.).

The Director of Public Works (Hon. Mr. H. T. Creasy, C.B.E).

The Captain Superintendent of Police (Hon. Mr. E. D. C. Wolfe, C.M.G.).

The Secretary for Chinese Affairs (Hon, Mr. R. A. C. North).

The Harbour Master Commander G. F. Hole),

all

Will the Honourable the Colo- a result there are four different classify it as manufactured or on- nlal Treasurer state, under separ-classes of cigars, four classes of manufactured. In the case of ate heads, the amount of revenue cigarettes and four classes of pipe manufactured bobacco he will also collected by the Treasury on actobacco, bearing different estimate the weight of unmanu- count of stamp duties in connexion duties. That system also involves factured tobacco from which the with share transactions in respect provisions for the manufacture of manufactured tobacco was pro- of-

tobacco in bond. The object of duced, and the duty is payable on

(6) January, 1929. The Colonial Treasurer replied: Separate answers cannot be given to 1 and 2. No answer can bo given to 3 as to soparate re- cord in respect of this item is kopt. For 1 and 2 combined the figures are:

(a)* $160,809, (b).$88,792; and $6,876..

(c) $15,923.

(Hon,

(d) $ LE 140./

(0) $27,650.

January $4,050 February $2,880 March $4,558 April $2,050

that.

First Steps..

(1) Shatebrokers" memos. for this Bill is to change the system the weight ap estimated. No

cash transactions.

of taxation aitogether and to tax doubt he will arrive at this esti- (1) Sharebrokers' contract tobacco at the sources in other male in consultation with the per- notes for forward transac words, to tax tobacco as it comes sons who will pay the duty, and tions.

Into the Colony, whather in raw though perhaps the provisions (HI) Instrument of Transfer for form or manufactured form. seem a little arbitrary, I think the following periods, viz.There aic various reasons for they are the only possible ones in (1) the year 1924,

altering the system of taxation. the circumstances., I do not think (2) first and second half, res. One is that the system which the in practice there will be found

pectively, of the year 1925, Bill will introduce is the one fol- any cause for complaint, (8) the year 1920,

lowed in Great Britain. Another The alteration of the system of (4) the year 1927,·

is, it has been found very difficult, taxation to taxation on entering (5) the year 1922, and separate. in fact almost impossible. to con- into the Colony, involves, of ly for each month, from trol the large number of very course, the provision of rebates January to April inclusive, small factories where tobacco is or drawbacks on exportation. of last year,

manufactured. Nothing but con- The Blll contains provisions to on- stant and very meticulous superable drawbacks to be paid, and vision would enable a proper con- regulations have already been

With what - pleasure you aið ́ trol to be kept of these factories made under the Bill for this pur your little one in making his first and the collection of the proper pose. The Bill was brought into stopat One of the most important duty. Then again, it is found force on the evening of the 18th of steps in your share of the little very difficult to assign any parti- February by an order by you, Sir,, man's progress is the selection cular kind of manufactured made under the Public Revenue of a medicine to keep his system tobacco, whether cigaretté or Protection Ordinance, 1927. That clean, the action of his bowels cigar or some other kind, to its Ordinance was passed to enable healthy and regular. For upon proper class in the scale of taxa-alterations of taxation to be made the proper functioning of the tion. Sometimes it is very dim- quickly and without undue pub- digestive tract his future steady cult to say on which side of the lieity, because it is obvious that development will greatly depend line any particular brand falls. when a tax is altered it is possint is precisely to meet this need Then again, another difficulty bie sometimes for persons, if they which has given rise to a good deal have notice, to avoid the new tax of misunderstanding in the Colony by clearances from bond, and is the difficulty of the cigarette otherwise. That Ordinance te sold deliberately at a low pries.cognises the desirability of mak- and very often at a loss, in ordering changes in the revenue quickly to kill competition or to establish and secretly. Of course, that a new brand. The Government order will cease to be effective are not concerned in any way with when this Bill becomes law, and proventing such a practice or the me provisions that are now torfering in any way with competi-in force under your order will The Attorney General moved the tion of that kind. Some people then be enforced under this Bill, first roading of a Bill intituled An seem to have imagined that the The Director of Medical and Ordinance to amend the Supreme Government by this Bill were en-

ļas an Ordinance.

The Bill contains other pro- Sanitary Services (Hon. Dr. A. R. Court Ordinance, 1873. He aald: deavouring to check that practice, visions which I think are all conse. Wellington) took the oath of al-At present, the power to appoint but that la no concern of the Gov- quential to the angin objects of the legiance on taking hla sent as a temporarily a judga of the arament. The Government, how- member of the Council.

Supreme Court, is confined to ever, is concerned from the re- Bill and other minor points. I beg

to move the first reading. three cases: (1), when the office of venus point of view with that prab-

The Colonial Secretary genonded case of the dilpess or absence of tion continues. Tobacco, of

Watchman Ordinance. the judge, and (8) for the purposes course, ought to pay duty accord- of the Appeal Court held under the ing to its grade. Where the scale first reading of a Bill intituled An The Attorney General moved tho Fall Court Ordinance, 1812. The of duty depends on the value of Ordinance to amend the Watch object of this is to give you, the tobacco, more valuable tobacco men Ordinance, 1928. Ho sald Sir, power to appoint temporarily ought to pay a higher tax and less The object of thla vory, short Bill 1. The present system of com- a judge in any case in which you valuable tobacco ought to pay as to exempt from the Watchmen munications, by telephone, tele-

may think it desirable. It may lower tax. When, however, the Ordinance persona employed liv graph and wireless telegraphy for example, be desirable to ap-dealer selle more valuable with Waglan and other similar sta-point a judge temporarily to deal tobacco at a lower price he pays the first reading.

the Air Ministry. I beg to move tions is under examination with with some special accumulation of duty at a lower rate and conse a view to the more rapid and ac-work and congestion of litigation, quently the revenue suffers.

The Director of Medical and Sanitary Services (Hon. Dr. A. R. Wellington),

Hon. Sir Henry Pollock, K.C. Hon. Sir Shotson Chow.

Hon. Mr. A. C. Hynes.

Hon. Mr. J. Owen Hughes. Hon. Mr W. S. L. Shenton. Hon. Mr. J. P. Braga. Hon. Dr. S. W. Teo, LL.D. Mr. E. R. Wynne-Jones, (Deputy Clerk of Councils).

The Hain Wah Disaster, Hon. Sir Henry Pallock asked:

(f) $1,670.

NEW BILLS READ. Five Ordinances Introduced

and Explained.

What action does the Govern, judge has become vacant; (2), intice if the present, system of taxa and the Bill was seed a fret time.

ment intend to take in connexion with the recommendations of the Coroner's Jury at the Hsin Wah Inquiry?

The Colonial Secretary.

2. So far as can be ascertained

1

The Colonial Secretary seconded and the Bill was read a first time.

curate transmission of messages. Dr may be desirable to appoint Again, the charging of a lower

Unclaimed Balances. no other ships keeping W/T watch a judge temporarily to relieve price for higher value tobacco at

The Attorney General moved the were in the immediate vicinity of another permanent judge for some short notice or no notice at all,

non-judicial work on which he affects appreciably the estimates first reading of a Bill intituled An the Hsin Wah at the time of the may be engaged for the time be of tobacco revenue, and it is dif- Ordinance to consolidato and disaster, so that on this occasioning I beg to more the first read-cult sometimes to estimate what amend the law with respect to broadcasting would have served

jug.

the revenue will be if the duty is certain unclaimed balances und no useful purpose. Government, The Colonial Secretary seconded Hable to variation at the will of certain other unclaimed sums. He however, agrees that in her

manufacturers who deliberately, said: Certain defects have been cases broadcasting might be of and the Bill was read a fret time,

Bankruptcy Ordinance. great aenistance to ships in dis-

and no doubt quite properly, discovered in the present Unclaim- 1885. tress and stops are being taken to

The Attorney General moved the under-sell their goods for theired Palpnoes Ordinance,

They are matters of technical do-i own special reasona ensure that news received of dis- first reading of a Bill Intituled An

The new duties are contained in tall and they are fully explained asters, other than that broadcast Ordinance to amend the Bank-clause 7 of the Bill. It is no part in the Objects and Reasons, and I by other chore stations or ships, ruptcy Ordinance, 1801. He said: of the policy of the Bill to increase do not think that I need go into will be broadcast in the future. The object of this Bill is to pro- the duties on tobacco, though, of them more fully, at least at this

3. The Harbour Master has vide that upon a bankrupt coming

The Bill re-enacts the full authority to deal directly and up for his discharge, the Court course, inevitably there will be stage.

Individual variations In the in-main provisions of the present promptly in such cases. On this shall take into consideration the cidence of the tax. It will be Ordinance, with additions to meet occasion prompt action was taken report by the Official Receiver on seen that raw tobacco will be the defects which have been dis- in that as soon as the message was the bankrupt's conduct and affairs, charged at the same rate through-covered in it. There is one point, received stating that the Hain including his conduct in the Wah was eground, arrangements course of the bankruptcy proceed-out; it varies according to the perhaps, to which I ought to draw were made immediately to sendings, The Bill also provides that amount of molature in the tobacco attention, and that is this, the out the tug. Taikoo to the ship's the Official Receiver's report aball and according to whether the object of the Bill generally, and assistance.

be prima facie evidence of the tobacco is stripped or unstripped, of the present Ordinance, le to

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specially for Police work and it These two provisions occur in the one flat rate for all raw tobacco, reneral revenue of the Colony all In the case of manufactured suma which remain unclaimed In la not considered expedient to English Bankruptcy Act, from tobacco, all cigars will be at the the hands of officers of the Govern alter their design to that of deep which our Ordinanco was taken, same rate, all cigarettes at the ment, but as it is possible that the aca craft. The Officers in charge but for some reason they were same rate and all other manufac-claimants-persons who could of these launches are competent omitted when our Ordinance of tured tobacco at the same rate, have claimed these sums may 8, Des Vœux Road, Central. In the handling of their launches, 1891 was passed. It is considered the amount being 31.50 per pound appear even after the transter to 5. It would be possible to keep desirable that they should now be for cigars, 75 cents for cigarettes the revenue of the Colony, pro- the Rescue Tug Kausing continu-introduced here. The amend- and 75 cents for other manufac- vision is made in two ways by ously under eteam at half an ments are made applicable to tured tobacco. The same clause which they can still pursue their hour's notice but this would in- pending bankruptcies. I beg to clause provides for the tem claims. In the first place, they eur an additional expense of up-move the first reading. proximately $30,000 annually," The Colonial Secretary second- The Hain Wah, carrying W/T but ed and the Bill was read a first not in working order, grounded on time. a clear night on an island on which

Tobacco Taxation.

(Entrance Ice House Street.) Tel: 0.4548

porary problem of tobacco which are given the right to apply to the Ish Intestates Estates Act, which is already in the Colony and which Courts by petition; they are also provides that in the case of bal- will now have to pay duty Im-given the right to apply to the lances in the hands of the Crown, mediately. Under the old system Governor in Council on any moral claims by subjects, are barred that tobacco, of course, would not ground. The present Ordinance after such time and in such con- there was a First Order Light The Attorney General moved the pay duty until it was manufactur.which gives these two rights con-ditions as they would be barred if burning brightly. A repetition of this disaster is so improbable that rst reading of a Bill intituled Aned and taken out of the manufactains no limitation whatever of they were pursuing a subject and it is not considered that this extra ordinance to amend the law re- turer's bonded premises, but that the legal right, and it has been not the Crown. It seems to be a recurrent expenditure would beating to the taxation of tobacco, tobacco will now, under the new thought desirable to provide that reasonable limitation and it has He said: The present system of system, have to pay duty im-elaimants to any sume which are been inserted in this Bill. There jastifled.

taxation of tobacco is a system by mediately. The method that has transferred to revenue shall be is a similar limitation of right to which the manufactured article is been adopted in this Bill to ascer barced after such time and in such petition the Governor in Council taxed. That involves a scale of talo the duty is to give the conditions as they would be har-cu moral grounds. I beg to move duties varying with the value of Superintendent authority to cati-red if they were pursuing a sub- the first reading.

STAMP DUTIES.

Mr. Braga's Questions on

Revenue Statistics. Hon. Mr. J. P. Braga asked:

SALESMAN ŞAM

WELL, I'VE MANEUVERED THIS BUMP RIGHT OVER ITH' BACK YARD OF

GUZZ'S STORE-HOW TA ANCHOR TO THE. FENCE OR SOMETHUI”, [AN' SLIDE, DOWN "TA (GIVE 'GUZZ "TH' GLAD

TIDINGS-

"

the particular kind of manufac-mate the amount of tobacco on feet and not the Crown. That The Colonial Becretary secondéd tured tobacco, in question, and as the manufacturer's premises, to provision is taken from the Eng- and the Bill was read a first time.

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