Category Taxation In Asia

Hong Kong Needs to Drop Maritime Taxes

May 24, 2018 Taxation in Hong Kong

maritime industries Hong KongHONG KONG – Hong Kong should drop taxes for the maritime industry to boost up the flagging sector.

On May 21st Financial Services Development Council of Hong Kong released a new report with a suggestion of how to help the city develop a maritime financing and leasing industry.

Among the suggestion was a call for some significant overhauls for the tax system in place for the industry.

The Council called on the local government to enact tax concessions for maritime and ship leasing management and maritime and shipping-related supporting service activities.

However, instead of just calling for tax breaks, the Council encouraged the government to conduct full consultations with the industry when planning its tax review package.

Further, the report called for the negotiations and launch of ne...

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Thailand Clamping Down on Bitcoin Trading

May 15, 2018 Taxation in Thailand

cryptocurrency in ThailandBANGKOK – Thailand is toughening the rules about the use, exchange, or sale of cryptocurrency, and calling for heavy fines and jail time for unregistered exchange.

As of May 14th new regulations came into effect in Thailand regarding the trading of and profits from cryptocurrencies, such as Bitcoin, which will see higher levels of oversight and taxation.

Cryptocurrency transactions will soon bear the burden of a heavy taxation, with a 22 percent duty on profits to be enacted soon, on top of the already announced 15 percent tax on capital gains.

Along with the new taxes, the sellers of digital currencies have also been told that they will be required to register with the national Securities Exchange Commission (SEC) within the next 90 days.

Those who do not follow the requirement to regi...

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China Cutting Business’ Tax

May 8, 2018 Taxation in China

Bund Sunrise April 16 2018 in Shanghai ChinaBEIJING – Chinese firms are being given tax cuts, and encouraged to spend their savings on technology and training.

Late last week the government of China announced that it will be implementing a series of tax cuts for businesses, ultimately aiming to help modernize the economy by encouraging extra spending on greater use of technology and staff upskilling.

The government are dropping the rate of VAT for businesses, based on the industry in which they operate.

The sale of goods will now see a VAT rate of 16 percent, compared to 17 percent, while businesses in transportation, logistics, and construction will see their tax rate drop from 11 percent to 10 percent.

No changes will be enacted to the already reduced rate of 6 percent for businesses operating in financial or consumer services.

Te...

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Dubai Rolls Back VAT on Gold

May 4, 2018 Taxation in UAE

Tax on gold in DubaiABU DHABI – The gold and diamond trade in the UAE should pick up again, as the government rolls back VAT for these luxury items.

On May 2nd the government of the United Arab Emirates announced that it will implement a new tax mechanism to eliminate VAT on the wholesale of precious metals.

Earlier this year the government introduced a general VAT of 5 percent on all items, aside from education, healthcare, and basic food items.

The government has announced that a reverse-charge mechanism will now be implemented during the sale of gold and other precious metals.

The mechanism is aimed at impacting wholesalers and overseas suppliers, and will see the GST obligation transferred to the sale of the item to a retail buyer.

Some figures have suggested that the implementation of the VAT in Januar...

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Top Taxpayers Pay a Third of Hong Kong’s Taxes

April 26, 2018 Taxation in Hong Kong

top taxpayers in Hong KongHONG KONG – A third of Hong Kong’s personal income tax comes from the richest people 1.5 percent of taxpayers, and some politicians want them to pay even more.

New information released by the Financial Services and the Treasury Bureau in Hong Kong on April 24th indicates that the top 1.5 highest earning taxpayers in the city paid more than a third of the personal income tax collected in 2017.

In the 2016-2017 year, a total of HKD 63.6 billion in personal income tax was collected in Hong Kong.

The top 1.5 percent of taxpayers directly contributed HKD 22.8 billion of the total.

Of the top 1.5 percent of taxpayers, half had salaries of between HKD 2 million and HKD 5 million, though approximately 2 700 of the richest taxpayers had salaries exceeding HLD 10 million.

Personal income tax in Hon...

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