Hong Kong: IRD introduces two tiered profits tax rate
The Inland Revenue (Amendment) (No.7) Bill published on 29 December 2017 proposes to modify Hong Kong’s tax relief for various businesses including reinsurance, captive insurance, aircraft leasing, shipping and corporate treasury centers as these
See MoreIMF: Report comments on economic and fiscal position of Hong Kong SAR
On 29 November 2017 the International Monetary Fund (IMF) published a report on its website following consultations with the Hong Kong Special Administrative Region (SAR) of China under Article IV of the IMF’s articles of agreement. The Hong Kong
See MoreHong Kong-Belarus tax treaty enter into force
On 30 November 2017, the income and capital tax treaty between Hong Kong and Belarus entered into force. The agreement was signed on 16 January 2017. It will be in effect in Hong Kong for any year of assessment beginning on or after April 1, 2018.
See MoreDouble tax treaty between Hong Kong and Pakistan enters in to force
On 24 November 2017, the Double Taxation Agreement (DTA) between Hong Kong and Pakistan was entered into force after the completion of ratification procedures on both sides. The agreement was signed on 17 February 2017 with providing the
See MoreDouble tax treaty between Hong Kong and Latvia enters in to force
On 24 November 2017, the Double Taxation Agreement (DTA) between Hong Kong and Latvia was entered into force after the completion of ratification procedures on both sides. The agreement was signed on 13 April 2016. The treaty provides for reduced
See MoreHong Kong: Chief Executive announces new tax relief for SME & IT sectors
On October 11, 2017, the Chief Executive of Hong Kong proposed a new tax concession for small and medium-sized enterprises (SMEs). According to the proposal, a new two-tier profit tax system that would reduce the corporate income tax rate to 8.25%
See MoreHong Kong signs free trade agreement with ASEAN
On 13 November 2017, ASEAN and Hong Kong signed a free trade and investment agreement hoping to strengthen economic cooperation between the two sides and promote development in the region. Both agreements, ASEAN-Hong Kong, China Free Trade Agreement
See MoreHong Kong signs AEOI agreement with Switzerland
Hong Kong has signed an agreement with Switzerland on the automatic exchange of financial account information in tax matters (AEOI), a government spokesman said on 14 July 2017. The spokesman added that they are trying to expand the Hong Kong AEOI
See MoreHong Kong adopts a new intragroup tax loss transfer regime
According a proposal from high level government advisory panel, Hong Kong adopts a new intragroup tax loss transfer regime. If adopted, these new tax rules would have significant impact on business and investment decision-making in Hong Kong,
See MorePakistan: Cabinet ratifies DTA with Hong Kong
On 15 August 2017, the federal cabinet ratified an agreement between Pakistan and Hong Kong (special administrative region of the People’s Republic of China) for the avoidance of double taxation and the prevention of fiscal evasion with respect to
See MoreHong Kong signs double taxation agreement with Saudi Arabia
The Secretary for Financial Services and the Treasury, Mr James Lau, on behalf of the Government of the Hong Kong Special Administrative Region, signed a comprehensive agreement for the avoidance of double taxation (CDTA) with Saudi Arabia on 24
See MoreHong Kong plans to set tax incentives in innovation and technology sector
The Hong Kong government is planning to set a new tax incentive to boost the innovation and technology sector. The incentive was announced by Hong Kong Chief Executive Carrie Lam in her October Policy Address. The detailed plan is yet to be
See MoreHong Kong: Government plans to introduce transfer pricing legislation by the end of 2017
On 31 July 2017, the Hong Kong government released the consultation report on measures to counter base erosion and profit shifting (BEPS) by enterprises. Hong Kong indicated its commitment in June 2016 to implementing the BEPS package put forward by
See MoreHong Kong: Government plans to introduce tax relief for small and medium enterprises
Following a question regarding two tax measures proposed by Chief Executive in her election manifesto, the Secretary for Financial Services and the Treasury has replied on focusing tax relief for small and medium enterprises. In the 2017-18 Budget,
See MoreNew Zealand-Hong Kong: Protocol to tax treaty updated
Revenue Minister has signed a new tax protocol between New Zealand and Hong Kong on 28th June 2017. The protocol updates the existing double tax agreement between New Zealand and Hong Kong, to allow full exchange of information on tax matters
See MoreHong Kong signs AEOI agreement with New Zealand
Hong Kong has signed an agreement with New Zealand for conducting automatic exchange of financial account information in tax matters (AEOI), a Government spokesman said on July 14, 2017. The spokesman added that they have been seeking to expand Hong
See MoreHong Kong: IRD plans to launch AEOI portal from July 2017
The Inland Revenue Department (IRD) plans to launch an Automatic Exchange of Information (AEOI) portal from 3 July 2017, according to a spokesman for the IRD. The portal would be used for financial institutions to furnish notifications and file
See MoreHong Kong: IRD gazettes orders on treaties with Latvia, Belarus and Pakistan
Three orders made by the Chief Executive in Council under the Inland Revenue Ordinance to implement the Comprehensive Agreements for the Avoidance of Double Taxation (CDTAs) with Latvia, Belarus and Pakistan respectively were gazetted on June 30
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