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Hong kong Tax

Discussion in 'Accounting, Tax & Legal' started by evisional, 22nd Oct, 2007.

  1. evisional

    evisional Well-Known Member

    23rd Aug, 2007
    Interesting about investing in Hongkong. There are no capital gains tax, sales tax, VAT, nor annual net worth tax. Does anyone know how to invest in Hongkong and expose tax to Australia?

    from : Investing in Hong Kong - HSBC Premier Hong Kong

    Hong Kong does not collect capital gains tax, sales tax, VAT, nor annual net worth tax. Investment income and capital gains are not taxed.

    Stamp duty is applicable to many types of transactions carried out in Hong Kong including share transactions.

    Interest (accrued on or after 22 June 1998) derived from any deposit placed in Hong Kong with an authorized institution is exempt from payment of Profits Tax. This exemption, however, does not apply to interest received by or accrued to a financial institution.

    The following income and profits are excluded from the assessable profits:
    Dividends received from a corporation which is subject to Hong Kong Profits Tax;
    Amounts already included in the assessable profits of other persons chargeable to Profits Tax;
    Interest on Tax Reserve Certificates;
    Interest on, and any profit made in respect of a bond issued under the Loans Ordinance(Cap.61) or the Loans (Government Bonds) Ordinance(Cap.64), or in respect of an Exchange Fund debt instrument or in respect of a Hong Kong dollar-denominated multilateral agency debt instrument;
    Interest income and trading profits derived from long term debt instruments; and
    Sums received or accrued in respect of a specified investment scheme.
    For the latest tax information, please visit the website of the Inland Revenue Department of Hong Kong SAR