FIRST SCHEDULE TO INCOME TAX ORDINANCE (Addition of Tin Industry (Research and Development) Board)

The Financial Secretary (Mr T. M. Hart): Mr Speaker, Sir, I beg to move,

That this Assembly, pursuant to subsection (1) of section 106 of the Income Tax Ordinance (Chapter 166), resolves that the Tin Industry (Research and Development) Board be added to the First Schedule to the said Ordinance.

This application has been received from the Tin Industry (Research and Development) Board under section 13 (1) (e) of the Income Tax Ordinance. Exemption is effected by the inclusion of the name of this public body in the First Schedule to the Ordinance.

This Board was constituted by the Tin Industry (Research and Development) Fund Ordinance, 1953 (No. 58 of 1953) of the Federation of Malaya and consists of the Federated Malay States Chamber of Mines' representative as Chairman, three Government nominees, five other members from the Federated Malay States Chamber of Mines and representatives from the All-Malayan Chinese Mining Association.

The Ordinance provides for the establishment of a fund to be used, inter alia, for expenditure on research, development and publicity for the purposes of popularising and extending the uses of tin. The revenue of the fund is derived from cesses on tin exported, the amount of these cesses being fixed by the High Commissioner in Council. The fund is divided into two parts: a publicity fund and a separate fund for research, development and general purposes. The Board is required to keep accounts and to prepare an annual report, balance sheet and a profit and loss account and to submit these to the Legislative Council through the Minister for Economic Affairs. The Board exists for much the same purpose in connection with the tin industry as does the Board of the Rubber Research Institute of Malaya in connection with the rubber industry. The Institute has already been included in the First Schedule.

The Malayan Board of Income Tax has considered this case and has recommended that the Tin Industry (Research and Development) Board may properly be included in the First Schedule to the Ordinance with effect from the 1st of January, 1956, and the Government accepts its recommendation. Sir, I beg to move.

Mr Chew Swee Kee: Sir, I rise to second the motion.

Question put, and agreed to.

Resolved,

That this Assembly, pursuant to subsection (1) of section 106 of the Income Tax Ordinance (Chapter 166), resolves that the Tin Industry (Research and Development) Board be added to the First Schedule to the said Ordinance.