(delivering the judgment of the Board): This is an appeal from the Court of Appeal of Singapore against an assessment for property tax of a vacant plot of land at Peck Hay Road, Singapore. It raises a question of general interest as to whether the Valuation List for the year 1973 was a valid list. If it was valid, a question of valuation arises.

The appellant is the owner of a one-half undivided share in a plot of vacant land known as T.S. Lot No. 61-134. Its overall area is 14,875 square feet but owing to the configuration of the land, which has no building frontage to Peck Hay Road and which includes steep slopes, it is said that the whole area is not available for building. The property changed hands in 1951 at a price of $26,775 and its annual value (for rates at that time) was then fixed at $1,340 which was 5 per cent of the sale price. In 1960 it was purchased by the appellant's father and another person as tenants in common in equal shares for $20,000, but the annual value was not re-assessed and it continued to be $1,340 until 1973. On April 4, 1973 the appellant's father transferred his one undivided equal one-half share to the appellant without any consideration passing, and the Commissioner of Stamps was satisfied that only a bare legal estate passed as the beneficial interest of the half share was already vested in the appellant. A notice of the transfer was given to the respondent, the Chief Assessor, as required by the Property Tax Act. The respondent served a notice on the appellant and his co-owner proposing that the annual value be amended to $26,000 with effect from April 4, 1973. The appellant gave notice objecting to this large increase but the respondent decided not to amend his proposal. The appellant appealed to the Valuation Review Board which dismissed his appeal and confirmed the assessment. He appealed to the High Court of Singapore which allowed the appeal and discharged the assessment. The respondent appealed to the Court of Appeal which allowed the appeal and restored the assessment. The appellant, with leave of the Court of Appeal, now appeals to this Board.

Property Tax was introduced into Singapore, in lieu of the rates previously levied by local authorities, by the Property Tax Act 1961, which came into effect on January 1, 1961. It forms Chapter 144 of the Revised Edition of Acts published in 1970. It has been further amended by the Property Tax (Amendment) Act 1973. The 1961 Act provides (by section 6) that a property tax shall be payable by the owner of property in each year on the annual value of all houses, buildings, lands and tenements included in the Valuation List. The rate of tax was fixed by section 8 at 36 per cent, subject to a power in the Minister to order reduction in certain cases not here relevant. Section 2 defines "annual value" as follows:—

"'Annual Value', as used of a house or building or land or tenement, … means the gross amount at which the same can reasonably be expected to be let from year to year, the landlord paying the expenses of repair, insurance, maintenance or upkeep and all taxes; …

Provided that …

(b) In assessing the annual value of any property the 'annual value' of such property shall, at the option of the Chief Assessor, be deemed to be the annual value as hereinbefore defined or the sum which is equivalent to the annual interest at 5%—

(i) …

(ii) on the estimated value of the land as if it were vacant land with no buildings erected, or being erected, thereon."

By section 9 the Chief Assessor must cause to be prepared a Valuation List containing certain information about each property, including a description sufficient for its identification and the annual value ascribed thereto. The other sections immediately relevant are as follows:—

"10. It shall be in the discretion of the Chief Assessor either to cause to be prepared a new Valuation List every year or to adopt the Valuation List then in force, with such alterations and a