This publication is a handy desktop reference book and provides comprehensive and up-to-date explanation of Hong Kong taxation laws. It provides practical and up-to-date information on the concepts governing taxation of companies, businesses, individuals, partnerships, clubs and associations in Hong Kong.
APPENDIX 1: What’s New in 23rd Edition (not exhaustive)
1. Updated commentary on tax-related court case development
Tax court cases such as Court of Final Appeal’s decisions in Nice Cheer Investment Limited v Commissioner of Inland Revenue, Moulin Global Eyecare Trading Limited (In Liquidation) v Commissioner of Inland Revenue.
2. Legislative changes
Legislative amendments proposed in the 2013/14 Budget and passed during the 2014/15 year of assessment are updated in this edition. For example, reduction of taxes for the year of assessment 2012/13, raised deduction ceiling for expenses of self-education and increased child allowances.
Legislative changes proposed in the 2014/15 Budget, which are subject to the approval of the Legislative Council, have also been updated in this edition.
3. New Departmental Interpretation and Practice Notes
The Inland Revenue Department has revised Departmental Interpretation and Practice Notes (DIPN) No 47: Exchange of Information in light of the passage of the Inland Revenue (Amendment) (No. 2) Ordinance 2013 that enabled Hong Kong to enter into standalone tax information exchange agreements with other jurisdictions and expanded the scope of information that can be exchanged under comprehensive avoidance of double taxation agreements. In the DIPN, the Inland Revenue Department expressed its view on what amounts to information that is in “possession” and “control” of a taxpayer.
4. New tax information exchange agreement
Pursuant to the wider scope of tax information exchange allowed by the Inland Revenue (Amendment) (No. 2) Ordinance 2013, Hong Kong signed its first tax information exchange agreements with the United States.