A surprising number of multinational corporations fail in their application for an offshore claim in Hong Kong, even when they have no personnel physically present in the jurisdiction.Hong Kong is famous for its simple taxation system and low tax rate, and its territorial taxation concept has attracted many Mainland China enterprises and multinational corporations (MNCs) to set up trading companies

Cheng & Cheng Taxation Reveals Nine “Additional” Challenges Trading Companies Should Pay Attention to when Pursuing Offshore Claims in Hong Kong

Hong Kong is famous for its simple taxation system and low tax rate, so would most probably be the first set-up to consider when investors enter the Asian market (particularly the Mainland China market). However, without a better understanding of the benefits, investors may not realise just how attractive Hong Kong is. Cheng & Cheng Taxation Services Limited (Cheng &

Cheng & Cheng Taxation Reveals 10 quick facts about the Hong Kong Taxation System

Taxation can be an effective tool for influencing corporate behaviour. Cheng & Cheng Taxation Services Limited ("Cheng & Cheng's Taxation") regards it is the reason why many jurisdictions are devoting huge amounts of resources in an effort to attract research and development (R&D) centres. In this, Hong Kong is no exception.A 'super tax deduction' on certain R&D activities was introduced

Cheng & Cheng Taxation Reveals how Super Tax Deduction on R&D Activities in Hong Kong

Setting up a charitable organisation is common in Hong Kong, as Hong Kong citizens have always been committed to serving the community. The HKSAR Government also offers generous tax allowances to both individual and corporate donors to tax-exempt organisations (up to 35% of annual taxable income). Having said that, the Audit Commission recently reviewed the tax exemption approval process and

C&C Reveals the Important Tips of Setting Up a Charity in Hong Kong

On 30 June 2020, the Inland Revenue Department (IRD) published its long-awaited Departmental Interpretation and Practice Note (DIPN) 61 to provide clarification on its view on offshore fund exemptions for Hong Kong–domiciled funds. While the offshore fund exemptions initially only applied to non-resident funds, effective from 1 April 2019 these profits tax exemptions also became applicable to Hong Kong–domiciled funds.Four

Offshore fund exemption regime for Hong Kong-domiciled funds