PLC Paper No. LS 114

Paper for the House Committee Meeting
of the Provisional Legislative Council
on 6 March 1998

Legal Service Division Report on
Dutiable Commodities (Amendment) Bill 1998

Objects of the Bill

To amend the Dutiable Commodities Ordinance (Cap. 109) to give effect to the proposals in the 1998-99 Budget to increase the duties on tobacco, hydrocarbon oil and methyl alcohol by 6% and to make ancillary amendments to the Ordinance.

PLC Brief Reference

2. FIN SCR 7/2201/97 issued by the Finance Bureau dated 26 February 1998.

Date of First Reading

3. 4 March 1998.


4. The Bill has already been implemented since 2:30 p.m. on 18 February 1998 by virtue of the Public Revenue Protection (Dutiable Commodities) Order gazetted on the same day. The Legal Service Division has already prepared a report on this Order to the House Committee on 27 February, 1998. Members may refer to PLC Paper No. LS 110 on L.N. 93 for details.

5. Briefly speaking, the Order will expire upon the passing or rejection by the Provisional Legislative Council of the Bill, or the expiry of 4 months from the day on which the Order came into force, whichever event first happens.

6. According to paragraph 15 of the Brief, the Administration is of the view that the increase to duties on tobacco, hydrocarbon oil and methyl alcohol by 6% is essential. This will maintain the real value of duties and the adjustment serves specific policy objectives.


7. At the House Committee meeting on 27 February 1998, Members agreed to set up a Subcommittee to review the relevant Order. It is recommended that a Bills Committee be set up to replace the Subcommittee and review both the Bill and the Order. The legal and drafting aspects of the Bill are in order.

Prepared by

HO Ying-chu, Anita
Assistant Legal Adviser
Provisional Legislative Council Secretariat
2 March 1998