Category Taxation in Hong Kong

Hong Kong Reports Tax Revenues Growths

November 2, 2011 Taxation in Hong Kong

Tax revenue in Hong KongHONG KONG – Hong Kong has seen a bumper year for tax collections, with annual tax revenues up by 16.7 percent.

On November 2nd the Inland Revenue Department (IRD) of Hong Kong released its Annual Report for the 2010 – 2011 fiscal year, showing a significant improvement in tax revenues compared to the previous year.
According to the report, Hong Kong’s cumulative tax collections for the year reached HKD 209 billion. Corporate tax collections provided the largest contribution to the government’s budget, reaching HKD 93.2 billion. Personal income tax collections were at their highest ever recorded level, at HKD 44.3 billion. Stamp duties brought in an additional HKD 51 billion in revenues.

The cumulative tax collections for the year were 16.7 percent higher than last year...

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Hong Kong Residents to See Unexpected Tax Waiver

March 3, 2011 Taxation in Hong Kong

john-tsang-handout2Hong Kong residents can look forward to a HKD 6000 cash handout and a significant income tax waiver, under the government’s newly pronounced budget plans.

On March 2nd the Hong Kong Financial Secretary John Tsang announced an unexpected revision to the recently released government budget, revealing that all permanent resident of Hong Kong over the age of 18 years will now be eligible to receive a onetime HKD 6 000 (approx. USD 770) cash payment. Recipients will be able to withdraw the entire amount in one sum if they wish, although the Minister said that measures will be instated encouraging people to save...

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Greece to Improve Tax Department Transparency

May 26, 2010 Taxation in Hong Kong

GramvousaThe Greek Government has set out to deliver vast improvements to the integrity of its national tax administration department. The efforts have been initiated with the investigations and dismissal of employees suspected of tax evasion, corruption, smuggling, and other illegal activity.

On May 25th the Finance Ministry of Greece announced a set of sweeping investigations and terminations into employees suspected of illegal activities. According to a statement released by the Ministry, 20 tax-office directors have already been fired for failing to meet preset collection targets. A total of 234 employees have also been selected to be scrutinized for not filing personal tax returns in the 2007-2008 financial year. The property holdings of an additional 70 employees will also be examined...

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Asian Economies Warned of Capital Spikes

May 19, 2010 Taxation in ChinaTaxation in Hong KongTaxation in IndiaTaxation in PhilippinesTaxation in SingaporeTaxation in South KoreaTaxation in ThailandTaxation in Vietnam

Independence Monument - Phnom Penh, CambodiaGovernments of emerging Asian economies have been warned to be ready for sudden increases in investment capital inflows, and prepare appropriate policy responses.

On May 18th the Asian Development Bank (ADB) released its annual Asian Capital Markets Monitor report, which investigates the performance and outlooks for the equity, bond and currency markets in emerging economies. According to the report, several factors have cumulatively increased the risk of Asian economies facing sudden high levels of investment capitals, leading potential destabilization of currency and financial markets.

Amidst worries of a continued national debt crisis in Greece and the Euro-zone, international investors have been paying greater attention to Asian economies...

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China and Hong Kong Cooperate on Transfer Pricing

May 18, 2010 Taxation in ChinaTaxation in Hong Kong

Hong KongThe Hong Kong Inland Revenue Department (IRD) and the State Administration of Taxation (SAT) of the People’s Republic of China recently held a public conference, where both administrations demonstrated a commitment to collaborating on issues surrounding transfer pricing (TP) and associated taxation matters. The conference was intended to provide insights into both administrations’ legislative perspectives and increase certainty surrounding transfer pricing and tax avoidance issues for cross-border business.

At the conference the IRD emphasized its acceptance and attempts to closely follow the Organization for Economic Cooperation and Development’s (OECD) Transfer Pricing Guidelines for assessing and reviewing clients’ TP arrangements and methods...

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