On 2 October 2019, the Hong Kong’s Chief Executive in Council made an order under the Inland Revenue Ordinance (Cap. 112) to implement the Comprehensive Avoidance of Double Taxation Agreement with Cambodia (Cambodia CDTA) that was signed on 26 June 2019.
Under the agreement investors will not have to pay tax twice on a single source of income. It will bring tax savings and a greater certainty on taxation liabilities for the residents of the treaty partner when they engage in cross-border trade and investment activities. The order will be tabled at the first sitting of the Legislative Council after the publication in the Gazette for negative vetting. The agreement will enter into force after both Hong Kong and the respective partner has completed their ratification procedures.
