§ Mr. Tilneyasked the Secretary of State for the Colonies to state, in table form in order of descending burden of tax, the rates of Income Tax levied on limited companies operating in each Colonial Territory, incorporated locally and in the United Kingdom, respectively; and whether, in such table, he will indicate briefly depreciation and similar allowances.
§ Mr. HopkinsonThe following is the table:
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STATEMENT OF COMPANY RATES OF TAX AND DEPRECIATION AND SIMILAR ALLOWANCES IN COLONIAL ETC. TERRITORIES Colony Company Rate of Tax in the £* Buildings Plant and Machinery Mining Allowances Initial Allowance Annual Rate of Depreciation Initial Allowance Annual Rate of Depreciation Initial Allowance Annual Rate of Depreciation s. d. Gambia 9 0 None 10% 1st year Subsequent years 2% Commercial and 4% Industrial 40% (a) Proposals now under consideration. Gold Coast 9 0 10% 10% 40% (a) 20% Output Reserve basis with minimum of 15 per cent. Sierra Leone 9 0 None 10% 1st year Subsequent years 2% Commercial and 4% Industrial None (a) None Output Reserve basis. Nigeria 9 0 25% 10% 40% (a) 25% Output Reserve basis with minimum of 15 per cent. British Guiana 9 0 Such amounts as the Commissioner considers just and reasonable — — Barbados 8 0 None None Such amounts as the Commissioner considers just and reasonable. — — Trinidad 8 0 10% 2% 40% (a) 10% Output Reserve basis. North Borneo 8 0 10% 2% 20% (a) — — St. Kitts-Nevis 8 0 None Reasonable Depreciation None (a) — — Jamaica 8 0 20% Reasonable Depreciation 20% (a) 20% Output Reserve basis. Mauritius 8 0 10% 2% 20% (a) Such sums as the Commissioner may consider just and reasonable. Virgin Islands 7 10 Such amounts as the Commissioner considers just and reasonable — — Cyprus 7 6 10% Reasonable Depreciation 20% (a) Plant 20% Other 10% Output Reserve basis. British Honduras 1st £25,000 7s. 0d Next £25,000 7s. 6d. Such amounts as the Commissioner considers just and reasonable Balance 8s. 0d. — — Grenada 7 6 None None Such amounts as the Commissioner may consider just and reasonable — — Northern Rhodesia 7 6 10% Reasonable Depreciation 20% Reasonable Depreciation Output Reserve basis with special provisions in the case of new mines.
STATEMENT OF COMPANY RATES OF TAX AND DEPRECIATION AND SIMILAR ALLOWANCES IN COLONIAL ETC. TERRITORIES—continued Colony Company Rate of Tax in the £* Buildings Plant and Machinery Mining Allowances Initial Allowance Annual Rate of Depreciation Initial Allowance Annual Rate of Depreciation Initial Allowance Annual Rate of Depreciation s. d. Nyasaland 7 6 10% Reasonable Depreciation 20% Reasonable Depreciation Output Reserve basis with special provisions in the case of new mines. St. Lucia 6 8 Such amounts as the Commissioner considers just and reasonable — — Antigua 6 8 20% Reasonable Depreciation 20% Reasonable Depreciation — — Aden 6 6 None Reasonable Depreciation None (a) — — Fiji 6 3 None None None Reasonable Depreciation — — Dominica 6 0 None Reasonable Depreciation None (a) — — Federation of Malaya 6 0 10% 2% 20% (a) None Output Reserve basis. Singapore 6 0 10% 2% 20% (a) None Output Reserve basis. Brunei 6 0 10% 2% 20% (a) 10% Output Reserve basis. Sarawak 6 0 10% 2% 20% (a) 10% Output Reserve basis. St. Vincent 6 0 Such amounts as the Commissioner considers just and reasonable — — Seychelles 6 0 None None 20% 8% — — Montserrat 5 6 Such amounts as the Commissioner considers just and reasonable — — Malta 5 0 10% Reasonable Depreciation 20% Reasonable Depreciation — — Tonga 5 0 None Reasonable Depreciation None Reasonable Depreciation — — Kenya 5 0 10% 2% 20% (a) Plant 20% Other 10% Output Reserve basis. Tanganyika Zanzibar Uganda 4 0 10% 2% 20% (a) Plant 20% Other 10% Output Reserve basis. Falkland Islands 3 6 None None None (a) — — Hong Kong 2 6 10% 2% 20% Reasonable Depreciation — — Gibraltar 2 0 None 4% None (a) — — Gilbert and Ellice Islands 1 6 10% Varying Rates from 1½% 20% Reasonable Depreciation — — British Solomon Islands St. Helena 1 6 Reasonable amount for exhaustion and wear and tear — — NOTES.—* Rate of Tax for Companies is the same whether the Company is incorporated locally or elsewhere.
(a) The normal annual rates of depreciation in these cases are approximately from 5 per cent, to 30 per cent, according to the nature of the item.
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