Articles

When an employment relationship comes to an end, it is common for employers to offer a termination package to employees. Some of these payments are taxable as Salaries Tax under Hong Kong laws, but some heads of payment may be treated as non-taxable if structured carefully. This article is a practical guide on simple steps that may be taken by both the employers and the employees to structure termination payment in a legal and compliant, yet tax-efficient manner.

This article talks about a development in international taxation in progress for a while now: BEPS 2.0, addressing tax avoidance by MNEs

Author: Chloe Lau , Associate Solicitor Understanding the Hong Kong Certificate of Resident Status The IRD issues a CoR to prove resident status for tax benefits under the DTA. From June 12, 2023, the IRD will use the DTA definition of “resident of Hong Kong”. The application process for Mainland China tax benefits is also simplified. However, a CoR doesn’t guarantee successful claims and entities may need to show economic substance in Hong Kong. What Is a Hong Kong Certifica

Author: Samantha Bradley, Consultant A New Tax Concession for Hong Kong Single Family Offices The Hong Kong government has set out its ambition to host 200 family offices in Hong Kong by 2025. The government perceives this sector to be of broad benefit to Hong Kong due to the multiplier effect on professional services, capital markets, venture capital and private philanthropy. On 24 March 2023, the government issued a policy statement on the development of family office busin

Author: Janine Sauerborn Understanding Hong Kong Double Taxation Agreements Everybody who deals with the topic of taxes will come into contact with a double taxation agreement , or DTA , at some point and will realise that it is not as bad as it sounds. This article provides an overview of Hong Kong double taxation agreements , explains why they exist, and how they operate in practice. The Basic Problem That Double Taxation Agreements Address In order to understand what a Dou

Jeder, der sich mit dem Thema Steuern befasst, wird irgendwann mit einem Doppelbesteuerungsabkommen (DBA) in Kontakt kommen und...

Für alle, die Hong Kongs Steuersystem in den letzten Jahren oder Jahrzehnten insbesondere im Hinblick auf die Besteuerung von...

Thanks to the relatively low tax rate, Hong Kong has long been one of the renowned locations for business registration. Specifically, the adoption of the territorial principle which could lead to offshore taxation allowed tax exemption for foreign-sourced profits, leading to situations where profits generated by a Hong Kong entity were not taxable in Hong Kong and were also not taxable in other jurisdictions.

Dank der vergleichsweise niedrigen Steuersätze ist Hongkong seit langem eine renommierte Adresse für die Gründung von Unternehmen....

In a historical agreement signed on 1 July 2021, 130 nations endorsed a declaration outlining a framework for reforming international tax regulations. Hong Kong, as an international financial and commercial centre, announced to implement BEPS 2.0 (Base Erosion and Profit Shifting), which consists of two pillars. BEPS 2.0 primarily targets major MNEs (multinational enterprises) that fulfil the defined standards but will have no impact on Hong Kong's small and medium-sized firm

Hong Kong Added to the EU List of Non‑Cooperative Countries and Territories for Tax Purposes With effect from 5th October 2021 , Hong Kong has been added to the EU list of non‑cooperative countries and territories for tax purposes . EU Tax Watch List and Hong Kong’s Status Since October 2021 Hong Kong has been on the EU watch list for tax purposes since 5th October 2021 . The list is designed to combat tax fraud, tax evasion, tax avoidance, and money laundering . By doing so,

Mit Wirkung vom 5. Oktober 2021 wurde Hongkong auf die EU-Liste nicht kooperativer Länder und Gebiete für Steuerzwecke gesetzt.

Hong Kong adopts a territorial principle of offshore taxation: only profits that are Hong Kong‑sourced are taxable, and profits derived elsewhere can be exempted.

The recent dilemma of the Inland Revenue Services’ attempt to tax both the Duchess of Cambridge and their royal baby highlights how even royals cannot escape the need for good tax planning.

稅務部最近試圖向劍橋公爵夫人及皇室小成員徵稅，結果進退兩難，突顯人人都需要做好稅務計劃，即連皇室成員也不例外。 在Commissioner of Inland Revenue V. Li & Fung (Trading) Ltd [2011] HKCFI 261案（HCIA...