Shipowners are at particularly high risk of double taxation. Hong Kong legislation provides for a reciprocal tax exemption for the profits of ships. Hong Kong has agreements with Denmark, Germany, Norway, the Netherlands, the United Kingdom and the United States. The following information provides succinct details on some important double tax evasion agreements signed by SADA Hong Kong. The agreement also plays a role in protecting the Treasury by adopting provisions to combat tax evasion and evasion, in part through measures to exchange information between tax authorities. All recent UK double taxation conventions largely follow the Organisation for Economic Co-operation and Development`s (OECD) approach to income and capital tax model. The agreements for the College continue this approach. The agreement applies in the United Kingdom from 1 April 2011 for corporation tax and from 6 April 2011 for income and capital gains tax. It applies from April 1, 2011 in Hong Kong. The National Financial Service accepts applications for bilateral or multilateral APA and requires annual reports. They offer not only protection against the risk of double taxation, but also greater security in terms of tax liability.
Hong Kong`s tax authorities have made significant efforts to eliminate double taxation where possible, as evidenced by the multitude of laws to facilitate double taxation. These measures include national provisions providing for unilateral relief, comprehensive double taxation agreements, bilateral air services agreements, shipping revenue agreements and extensive pricing agreements. Hong Kong is based on the territorial tax base, which provides that only Hong Kong`s income is subject to any type of tax (profits or payroll tax). This principle generally ensures that most people in Hong Kong do not suffer from double taxation. The agreement was also the first Hong Kong DBA to be signed using the Organisation for Economic Co-operation and Development standard for the exchange of tax information. China There are tax information exchange agreements to promote international tax cooperation and combat tax evasion. Many Hong Kong double taxation conventions contain information provisions. Hong Kong has also signed a series of stand-alone agreements on the exchange of tax information. As a general rule, they contain the following provisions: If you feel that you have not benefited from the reasonable exemption from double taxation guaranteed by a double taxation contract, you can order the assistance of the Hong Kong authority responsible for the treaty. Hong Kong`s competent authority is the Commissioner for Domestic Revenues.