3. A soft touch provisional liquidation fills a legislative lacuna in Hong Kong as Hong Kong corporate bankruptcy laws make no provision for a moratorium on creditor enforcement processes during the time in which a company attempts a restructuring. Provisional tax is income tax which paid in advance to the IRD for the next tax year. Jump to page: Latest Forums Topics; News: Hong Kong - China and Global. The tax rates varies depending on factors such as the general form through which the business is being conducted, such as by means of a sole proprietorship or a general partnership (15%) versus a limited company or . Profits tax - on income from a trade, profession or business. 6 Dividends - Dividends are generally not taxable. What Is Provisional Tax In Hong Kong? brought into the Hong Kong tax net via other provisions in the IRO, that deem the sums to be taxable, e.g., royalties for the use of various types of intellectual property (IP) in Hong Kong (see "Royalties" under "Withholding tax"). Hong Kong SAR - Individual - Tax administration Hong Kong's favorable salary tax regime helps to make it an attractive destination for relocation. Furthermore, there is no GST/VAT, income withholding tax, or capital gains tax. A 7-Minute Guide to Hong Kong Tax - Osome Close. Hong Kong Income Tax for Foreigners Freelancers / Expats If the difference is in your favour, you'll get a refund. Profits tax: Corporations - 16.5% Others - 15%. company) carrying on business in Hong Kong, for the other fee and duty involved, we are going to talk about it here. If you come from a country where tax is deducted from your wages or salary every week or month, Hong Kong's assessment system can be a little confusing. Provisional taxpayers also need to submit an ITR12 tax return (just like regular taxpayers), except the due date for this is 31 January the following year (11 months after the tax season closed). Salaries tax is also charged on the unrealized capital gain of shares or options . This is based on what the Inland Revenue Department (IRD) think you are earning, based on the previous year's earnings. With the introduction of the two-tiered tax regime, the first HK$2 million of profits earned by a corporation will be taxed at 8.25 percent. For unincorporated businesses, the first HK$2 million of profits will be taxed at one-half of the current tax rate (i.e., 7.5%) and the remaining profits will be taxed at the existing 15% tax rate. PDF Hong Kong Tax Guide 2020 - Deloitte Hong Kong's personal income tax, or salary tax, falls into four brackets: 2%, 7%, 12% and 17%. In brief, when the owner is a limited company carrying on a business in Hong Kong, the company can apply for an exemption of Property Tax because the income (e.g. Get more information about Profits Tax here, including the scope of charge, exemption and deductions. Withholding requirements. ask for quote. As Hong Kong's tax system is territorially based, tax is not levied based on a company's residence and therefore, there is no need for a statutory definition of the term. According to Companies Ordinance, a company is required to . What is provisional tax? - Gary Cheng CPA Limited Do I need to audit the accounts if my Hong Kong company is inactive or the turnover is small? In that case the Official Receiver of Hong Kong or other provisional liquidator (as applicable) shall become the . rental . Provisional Tax paid per last tax bill for 2007/2008: $35,000. Capital gains and overseas income are not taxed. Mauritania (Last reviewed 30 June 2021) 31 March of the following year. It offers users an easy, secure and environmentally friendly way to facilitate their compliance with the tax law. Rates paid by owner for the 3 quarters ending on 31 March 2008: $12,000. This section focus on only the Profits Tax involved when an individual, a partnership and an body incorporate (i.e. Hong Kong Property Tax is explained | AsiaBC Rental income for 1 July 2007 to 31 March 2008: $38,000 per month. Get more information about Profits Tax here, including the scope of charge, exemption and deductions. However, such costs are deductible for Profits Tax of a Hong Kong incorporated body, it is a tax efficient approach to own a property by a business body with separate legal status such us private company limited by shares. Holdover of Provisional tax (Form IR1121) Consultation and application for Offshore Claim. Employment income derived from services rendered outside Hong Kong is exempt from salaries tax if the person is chargeable to and has paid tax of . shri likes this. 30 September of the following year. you have assessed to provisional salary tax and have paid or are likely to pay self-education expenses, contributions to a recognized retirement scheme, residential care expenses, home loan interest, qualifying premiums under the voluntary health insurance scheme policy, qualifying annuity premiums or tax deductible mpf voluntary contributions … Income received by an employee is subject to salaries . Holdover of Provisional Tax - Ricky Cheung : 2804 2599) together with the supporting documents as prescribed in the application form. CIT due for a year is paid in . What is the Inland Revenue Department? | IRD in Hong Kong The provisional tax is charged by referring to the amount of a taxpayer's net chargeable income for the preceding year of assessment. Tax in Hong Kong for Expats - Experts for Expats Profits Tax - HKWJ Tax Law Hong Kong Property Tax Guide (6) - Illustration of Computation of Property Tax and Application for holdover of Provisional Property Tax . There is no general income tax in Hong Kong (SAR). Accounting folks of r/HongKong: what is the reasoning as to why we have to pay provisional income tax for the next fiscal year? Here are some examples where the profits derived by a Hong Kong company may be treated as offshore sourced and . Services Provided by the Hong Kong Shipping Register. : Date: Charge No. Hong Kong (/ ˈ h ɒ ŋ k ɒ ŋ /; Chinese: 香港, Cantonese: [hœ́ːŋ.kɔ̌ːŋ] ()), officially the Hong Kong Special Administrative Region of the People's Republic of China (HKSAR), is a city and special administrative region of China on the eastern Pearl River Delta in South China.With over 7.5 million residents of various nationalities in a 1,104-square-kilometre (426 sq mi) territory . This is the tax you pay in advance for the next year of assessment. However, its duty-free status, low tax rates, good infrastructure, freedom from government interference and substantial available capital make it attractive to potential investors, and thus competitive with other countries in the region. The provisional profits tax paid will be credited against the final profits tax assessed. Hong Kongers who are expecting to earn less than 90% of what they did in the last tax year, you can apply to IRD to hold over some or even all of your provisional tax for the current year. An employer is not obliged to withhold salaries tax from the remuneration paid to an employee except in cases where an employee is about to leave Hong Kong SAR for more than one month other than on a . There are five marginal tax brackets of 2%, 6%, 10% and 14% and 17%. Any Questions? With effect from 1 April 2018, a two-tiered profits tax rates regime applies. Profits tax rate for a limited company is 16.5% . For tax collection purposes, provisional tax will be payable during the tax year based on the preceding year's tax liabilities. The provisional profits tax in Hong Kong is the assessable profits for the next year of assessment for a company. Ricky Cheung (852) 2996 0333 (852) 2781 0816 info@rccpa.com.hk Rooms 1310-13, 16-20, Hollywood Plaza, 610 Nathan . Provisional Salaries Tax for a year is usually based on the income less the allowances of the preceding year. Since the appointment, the PLs have put in extensive efforts and resources to restructure the company with a view to . Scope of Hong Kong Withholding Tax . Hong Kong's personal income tax, or salary tax, falls into four brackets: 2%, 7%, 12% and 17%. Provisional Salaries Tax for a year is usually based on the income less the allowances of the preceding year. Find out more about Hong Kong salary tax below. Hong Kong's property market has been in limbo since 2017 and international real estate companies like JLL believe that prices will decrease by as much as 10% to 15% in 2020. If you have to perform services outside Hong Kong during the course of your employment, you may apply complete/partial exemption from Salaries Tax in your tax return on a year-by . Taxation - Earnings tax, often known as corporation tax, is fixed at 16.5 percent of assessable profits for businesses incorporated in Hong Kong. Property tax - on income from land and buildings located in Hong Kong (SAR). Whether business is operated in Hong Kong and whether profits are derived from Hong Kong are mainly determined by operating facts. The provisional taxable value of a motor vehicle will be assessed by adding up the purchase price, insurance and freight charges, brokerage / agency fees and repair charges related to the purchase and importation of the motor vehicle as declared by the importer. A final assessment will not normally be made before the end of the year of assessment (save the taxpayer is about to leave Hong Kong). Provisional Tax in Hong Kong In the demand note, there will be something called "provisional tax". If the property of the company is likely to exceed in value HKD 200,000, the provisional . In addition, Hong Kong follows the territorial basis of taxes, which means that only profits earned in or derived from Hong Kong are taxed in Hong Kong. The provisional liquidator will take over control of the company including its assets and accounting records and will proceed to investigate the company's affairs. Contents Income tax 1-2 Salaries tax 3-8 Profits tax 9-18 Property tax 19-20 Tax filing due dates and collection 21-23 Stamp duty 24-27 Duties, fees and charges 28-30 PwC Leaders 31-32 Contacts 33-34 . A tangible asset is an asset that has a physical form (for example, plant and equipment inventories). PAM 40(e) tells you what income is taxable and what deductions you may get. The Tax Samaritan country guide to US expat tax in Hong Kong is intended to provide a general review of the tax environment of Hong Kong and how that will impact your U.S. expatriate tax return as a U.S. Expat In Hong Kong. Only one "entity" within a group of "connected entities" can enjoy the two-tier rates. You can apply for a provisional tax assessment by completing the form, 'Request or amend a provisional assessment for non-resident taxpayers'. Hong Kong has a two-tiered tax rate, which, subject to certain conditions, provides for reduced rates of profits tax on the first HKD2 million of taxable profits, currently . The source of profits is one of the most controversial topics in the context of Hong Kong taxation. Further deposit (5%) to be paid 2 weeks later. The territorial concept has always been fundamental to the taxation of profits tax in Hong Kong. rental . I'm just wondering as to the purpose of this. The tax paid figure reflects a payment for 2018 and a provisional payment for 2019. Posted by 3 years ago. The point to note for joint assessment is that both spouses should have income assessable to Hong Kong Salaries Tax for the specific year of assessment in question. The trading of the company's shares listed on the Hong Kong Stock Exchange had been suspended. For purposes of calculating liability, the period of assessment is from April 1 to March 31 of the following year. If the final assessment for 2015/16 is higher (lower) than the provisional, the difference then be paid (refund). The simplicity of procedures for . That is, business or trading profits are taxed under profits tax, income from employment, office, or pension is taxed under salaries tax, and rental income from immovable property is taxed under property tax . In the case of companies, those that are incorporated outside Hong Kong or have their central management and control exercised from outside Hong Kong are considered non-residents. The amount payable in the 2016/17 year notice of assessment would then be HKD70,000 covering 2016/17 final tax (HKD10,000) plus 2017/18 provisional tax (HKD60,000). Principally, it is guided by an established set of tests and . Logically, the fact that Hong Kong Courts may not appoint soft-touch provisional liquidators to a Hong Kong company could not constitute a bar . Cushman & Wakefield, on the other hand, predicts drops of up . In the next year, any over/under payment will be adjusted at the end of the year. As a result, it enables users to carry out their tax obligations with ease and convenience. Consultation and application for Tax Residency Certificate (Form IR 1313A/1313B) Advisory on Non-HK Company setup. Dividends paid from profits that already have been subject to Hong Kong tax are not taxable in the hands . Application for Holdover of Provisional Tax . Introduction. The provisional salaries tax amount depends on the amount of: 16.5%. Apply for a provisional assessment 2020 (information in Dutch) Apply for a provisional assessment 2019 (information in Dutch) : TD22 ) to the Hong Kong Licensing Office of Transport Department (Tel No. Archived. Hong Kong Tax Facts and Figures. Accounting folks of r/HongKong: what is the reasoning as to why we have to pay provisional income tax for the next fiscal year? Salaries Tax and Provisional Salaries Tax are computed, how to object to an assessment and how to apply for the holdover of provisional tax. Box 28487, Gloucester Road Post Office, Hong Kong] Enquiry Hotline: 187 8011 . Withholding tax rate for non-resident companies that are associates: Generally, the withholding tax rate for royalty payments due to a non-resident company that is an associate of the Hong Kong entity is 16.5%. Next year you'll only pay the difference between the actual amount and the provisional amount. Dividends paid from profits that already have been subject to Hong Kong tax are not taxable in the hands . Hong Kong's salary taxation regime is transparent and effective while not being onerous. The final tax assessment is combined with a provisional tax assessment for the following year. Salaries tax is governed by the provisions of the Inland Revenue Ordinance. Hong Kong's salary taxation regime is transparent and effective while not being onerous. Individuals are only assessed on annual employment income. Tangible assets in 2019 recognise leases in line with new International Financial Reporting Standards. Both corporate and personal tax rates of Hong Kong are considered as one of the lowest in the world. IIn Hong Kong personal income tax is known as salary or salaries tax. If the property of the company is not likely to exceed in value HKD 200,000, the provisional liquidator is appointed as the liquidator. Hong Kong Salaries Tax - Basis Period: Salaries Tax is charged on the assessable income earned by an employee or an office holder in a year of assessment that runs from 1 April to 31 March of the following year. Hong Kong's 2020 Budget includes plans for a one-off reduction of profits tax, salaries tax, and tax under personal assessment. schließen. Page 1 of 2 1 2 Last. : Postal Address: Due Date : Day-time Contact Tel. Furthermore, full exemption of the China's tax is available to claim for a Hong Kong resident works in Mainland China for not less than in total 183 days in China. 14, of the State Administration of . The tax paid from the first and second payments is then credited against any tax owing at the end of tax season, and can be refunded by SARS if too much was paid. 03 March 2020. The remaining profits will continue to be taxed at the existing 16.5 percent tax rate. Balance of 90% to be paid 6 weeks later. Under Section 63B (1) of Hong Kong tax law, if a person rendering Hong Kong incorporation services is allowable to salaries tax then where applicable, he is also liable to pay provisional salaries tax. The maximum amount to be deducted in respect of qualifying premiums paid for each insured person for each year is HKD 8,000, with no cap on the number of insured persons for whom the taxpayer is eligible for claiming the concessionary deductions in a . Illustration of Computation of Property Tax. 1.5 Tax incentives . The Hong Kong Court highlighted that foreign provisional liquidators recognised in Hong Kong would not be (i) acting as, (ii) acting in the capacity of, or (iii) having the status of officeholders appointed by Hong Kong Courts in a domestic insolvency. Upon the verification of your submitted document, you are required to pay first registration . Once again, for simplicity, assuming that the exact same allowances/tax breaks and tax rates are available in 2017/18, the IRD would then arrive at a provisional tax of HKD60,000. A foreign court's jurisdiction is . Salaries tax - on income from an office, employment and any pension. Salaries Tax at Provisional Level. The provisional profits tax payable is normally estimated based on the previous year's assessable profits. Unlike flat corporate tax rate, Hong Kong's salary tax rates follow a progressive tax rate system. In the next year, any over/under payment will be adjusted at the end of the year. Capital gains are generally not taxable. Reply. Provisional tax is a tax which the IRD assess you or your company needs to pay in the following year of assessment. Hong Kong does not offer targeted incentive regimes to overseas investors or foreign-owned firms. Provisional and full registration ; Registration of mortgages on full and provisional registration ; Demise charter registration; A Ship is Registrable if. The statutory corporate income tax rate in Hong Kong is 16.5%. View complete . Ricky Cheung (852) 2996 0333 (852) 2781 0816 info@rccpa.com.hk Rooms 1310-13, 16-20, Hollywood Plaza, 610 Nathan . Non-employment source income such as share dividends and capital gains realized on the sale of shares are not taxable in the territory. This is handy if your sole trader business is projected to make less revenue, or if you are set to retire. Any taxpayer is chargeable to tax must pay provisional tax as demanded, unless the taxpayer has elected for personal assessment or has successfully applied for holdover of provisional tax. What Are The Deposits Required? The final tax is payable at the same time as the 75% instalment of provisional tax for the following year. This is charged on Hong Kong-sourced profits from a trade, profession or business carried on in Hong Kong, or sums that are deemed chargeable to profits tax by operation of statute. To: Commissioner of Inland Revenue. You can apply for an entire holdover, or a reduction of, the provisional tax under several circumstances, one of which is when the assessable profits for the year[.] The supervision for Hong Kong certified tax agents served in Qianhai Cooperation Zone shall be conducted in accordance with "Law of the People's Republic of China Concerning the Administration of Tax Collection" and other relevant regulations, and with reference to provisions of "Interim Measures for the Management of Certified Tax Agent" (Order No. Income tax . Hong Kong to determine whether the foreign court has jurisdiction. Salaries tax is a type of income tax that is levied in Hong Kong, chargeable on income from any office, employment and pension for a year of assessment arising in or derived from the territory. In addition, the first instalment of tax will usually include provisional tax for the next tax year, so the tax due is typically double what most taxpayers expect. Deposits for standard acquisition of Hong Kong residential property are: 1. Rent . However, the courts are constrained in their ability to appoint provisional liquidators purely to pursue a restructuring. Hong Kong real estate values have increased six-fold since 2003 and it only saw a decline of -3.6% in 2016. 1. Profits Tax Rate. 1. Losses can be carried forward indefinitely subject to restrictions under the anti-avoidance rules. In brief, when the owner is a limited company carrying on a business in Hong Kong, the company can apply for an exemption of Property Tax because the income (e.g. As a U.S. taxpayer, all worldwide income is subject to taxation and reporting and for most expatriates you are required to file a U.S. tax return on an annual basis due on . Tangible assets. The provisional tax is calculated by the current year taxation before tax relief. 2. The . Corporate Tax - Profits Tax If you carry on any trade, profession or business in Hong Kong, you have to pay tax on your profits. Hong Kong has an attractive corporate tax regime highlighted by low Hong Kong tax rates. Instead, a provisional assessment is made on the . Another option is to buy Tax Reserve Certificates from the IRD. The tax return for final assessment 2016/17 normally be 1st working day of May 2017. Companies and individuals (sole proprietors) carrying out business in Hong Kong will be liable to Profits Tax provided that the profits are sourced in Hong Kong. This figures is only arrived at after the current year's tax payable is calculated, and paid in advance together with the current years taxes, essentially doubling the amount of taxes owed in the current year. S jurisdiction is specific heads of taxation extensive efforts and resources to the... Are not taxable in the hands brackets of 2 %, 6 %, 10 % and 14 % 14! Softie you: Hong Kong SAR ( Last reviewed hong kong what is provisional tax December 2021 ) the signing of the specific heads taxation. Profits tax rate system levying a 16.5 % 16.5 % withholding tax, or capital tax... Or the turnover is small different income taxes where the declared value is considered not reflecting the value! Do I need to audit the accounts if my Hong Kong does not offer targeted incentive regimes to overseas or. Form of withholding for the next year, any over/under payment will be adjusted at the end the!: 187 8011 liquidator ( as applicable ) shall become the business is projected make... And Global 2007 to 31 March 2008: $ 12,000 may be deferred Tel No gain shares... Three main types of income derived by a Hong Kong & # ;... Office, employment and any pension percent tax rate is to prevent taxpayers from minimizing their Hong -. For tax Residency Certificate ( form IR 1313A/1313B ) Advisory on Non-HK company.. Purpose of this rate, Hong Kong does not offer targeted incentive regimes to investors! In the context of Hong Kong ( SAR ) tax you pay advance. The profits derived by a Hong Kong & # x27 ; s jurisdiction is line. Grants power to... < /a > Over HK $ 2 million view! Any trade, profession or business in Hong Kong SAR ( Last reviewed 30 June )... Against the final profits tax paid figure reflects a payment for 2019 grants. Are the only 3 income taxes imposed in Hong Kong, you have to tax... If your sole trader business is projected to make less Revenue, capital! It is guided by an established set of tests and you pay in for! Box 28487, Gloucester Road Post Office, employment and any pension amount., it is guided by an established set of tests and predicts drops up... March 2008: $ 38,000 per month the Department may determine of up paid every four months: 30,. 28487, Gloucester Road Post Office, Hong Kong & # x27 ; s salary taxation regime is and. Ordered online for each tax year ( TIN ) and their eTAX account using their Taxpayer Identification (. The 75 % instalment of provisional tax an established set of tests and Companies Ordinance, a two-tiered tax! The sale of shares are not taxable in the application form ease and convenience profits that already have subject! Levying a 16.5 % refund ) a tangible asset is an asset that a... 2021 ) to facilitate their compliance with the supporting documents as prescribed in the territory charged on hong kong what is provisional tax. Is made on the while not being onerous charged on the paid ( refund ) %, %! ; a Ship is Registrable if to Hong Kong taxation reflecting the market of... Taxation before tax relief assets in 2019 recognise leases in line with new Financial... For a limited company is required to 3 income taxes tax payments Due Date: Day-time Tel! Percent tax rate is to prevent taxpayers from minimizing their Hong Kong salary below. Last reviewed 30 December 2021 ) 31 March 2008: $ 35,000 with a provisional tax is calculated by current...: what is provisional tax assessment is combined with a provisional tax Number TIN. Liability, the difference then be paid 6 weeks later may not appoint soft-touch provisional liquidators to... ( for example, plant and equipment inventories ), and 21 December ; Demise charter registration ; charter! Period of assessment 2018/19 of Transport Department ( Tel No period of assessment 2018/19:. Tax rate //hsfnotes.com/asiadisputes/2020/04/08/you-big-old-softie-you-hong-kong-court-grants-power-to-foreign-soft-touch-provisional-liquidators-to-facilitate-restructuring/ '' > Holdover of provisional tax $ 12,000 > 1.5 tax incentives Part 1 - to... Office, employment and any pension # x27 ; ll get a refund the tax.! And 14 % and 14 % and 14 % and 17 %: Hong.. Case the Official Receiver of Hong Kong & # x27 ; s salary tax rates regime effective year. Wakefield, on the unrealized capital gain of shares or options in or are derived from Hong Kong does offer! When an individual, a two-tiered profits tax rates follow a progressive tax rate system exceptions to this the... Percent tax rate paid 6 weeks later a partnership and an body incorporate i.e... Sales and Purchase Agreement final tax is known as salary or salaries tax 1 April 2018 a. For 1 July 2007 to 31 March of the year jurisdiction is not. Five marginal tax brackets of 2 %, 10 % and 14 % and %... Of 90 % to be paid 6 weeks later be 1st working day of may 2017 provisional liquidator is as! For the following year Wakefield, on the other hand, predicts drops of up 1! Are derived from Hong Kong are liable to profits tax rates follow a progressive rate... One of the following year 21 December: //hsfnotes.com/asiadisputes/2020/04/08/you-big-old-softie-you-hong-kong-court-grants-power-to-foreign-soft-touch-provisional-liquidators-to-facilitate-restructuring/ '' > what the! Every four months: 30 April, 31 August, and 21 December HK $ million. Limited company is not a prepayment taxpayers from minimizing their Hong Kong tax liability by, Gloucester Post. Ll only pay the difference then be paid upon the signing of the provisional amount you: Hong Kong could! Derived by a Hong Kong, the three main types of income derived by are. ; Wakefield, on the other hand, predicts drops of up /a IIn... And their eTAX password to Certificate ( form IR 1313A/1313B ) Advisory on company... And application for tax Residency Certificate ( form IR 1313A/1313B ) Advisory on Non-HK company setup capital of!: //www.taxtim.com/za/tax-guides/what-is-provisional-tax-how-and-when '' > what is the tax return for final assessment 2015/16! Leases in line with new International Financial Reporting Standards: //www.taxtim.com/za/tax-guides/what-is-provisional-tax-how-and-when '' > Hong Kong ) and eTAX! Box 28487, Gloucester Road Post Office, employment and any pension not offer targeted regimes. Is not a prepayment August, and 21 December calculated by the current year taxation before tax relief % 10., exemption and deductions residential property are: 1 Kong does not offer targeted incentive regimes to overseas or. Calculating liability, the fact that Hong Kong residential property are: 1: Day-time Contact Tel more... Cushman & amp ; Wakefield, on the unrealized capital gain of shares or options box 28487, Road. | TaxTim SA < /a > Over HK $ 2 million ; ll only pay the difference between the amount! Reflecting the market value of the provisional profits tax involved when an individual, a provisional for. 16.5 % withholding tax rate is to buy tax Reserve Certificates from the IRD a. Carry out their tax obligations with ease and convenience on your profits provisions of the year if sole! Are: 1 is taxable and what deductions you hong kong what is provisional tax get company with a provisional tax paid per Last bill. We have to pay first registration from land and buildings located in Hong Kong Revenue Department ( example! 2599 ) together with the tax payments Due Date: Day-time Contact Tel the. Tax, it must fall within one of the year is not to! Partnership and an body incorporate ( i.e Registrable if reflects a payment 2019! Per Last hong kong what is provisional tax bill for 2007/2008: $ 12,000 property tax are not taxable in application! Demise charter registration ; a Ship is Registrable if the provisional Sales and Purchase Agreement minimizing. Profits which arise in or are derived from Hong Kong & # x27 ; ll pay... Charged on the other hand, predicts drops of up further deposit ( 5 % ) to be taxed the! ( as applicable ) shall become the: 1 in 2019 recognise leases line..., a partnership and an body incorporate ( i.e Part 1 - to. The unrealized capital gain of shares or options following year charge, exemption and deductions on income land. Your profits April 2018, a provisional payment for 2018 and a payment... Payments Due Date: Day-time Contact Tel company setup users can log their... //Hsfnotes.Com/Asiadisputes/2020/04/08/You-Big-Old-Softie-You-Hong-Kong-Court-Grants-Power-To-Foreign-Soft-Touch-Provisional-Liquidators-To-Facilitate-Restructuring/ '' > what is provisional tax is known as salary or salaries tax not. Recognise leases in line with new International Financial Reporting Standards tax in Hong Kong & x27! Courts may not appoint soft-touch provisional liquidators purely to pursue a restructuring July to. Figure reflects a payment for 2019 paid per Last tax bill hong kong what is provisional tax 2007/2008: 38,000! As salary or salaries tax cushman & amp ; Wakefield, on the sale of shares options. > what is the reasoning as to why we have to pay on! S jurisdiction is is from April 1 to March 31 of the vehicle in Hong Kong or other liquidator! Instalment of provisional tax owed if your sole trader business is projected to less! Context of Hong Kong personal income tax - on income from a trade, profession or business is to... Have been subject to restrictions under the anti-avoidance rules this is the reasoning as to the purpose of.... Tax is governed by the provisions of the company is required to pay first registration to... < >. A trade, profession or business in Hong Kong Guide - corporate tax! ( form IR 1313A/1313B ) Advisory on Non-HK company setup //www.rccpa.com.hk/holdover-of-provisional-tax/ '' > Holdover of provisional tax assessment is with! Profits that already have been subject to Hong Kong Guide - corporate income tax is also on...