CURRENT AFFAIRS

Detailed explanation-1: -Comprehensive DTAs: A bilateral agreement that provides relief from double tax to all types of income. At present, Hong Kong has concluded comprehensive DTAs with Belgium, Mainland of China, Thailand, Vietnam and Luxembourg.

Detailed explanation-2: -With 40 concluded DTAs, Hong Kong’s current tax treaties cover the following categories: Comprehensive DTAs: Belgium, Mainland China, Luxembourg, Vietnam and Thailand. Airline and Shipping Income DTAs: Sri Lanka and Singapore.

Detailed explanation-3: -Where a resident of India derives income which, in accordance with the provisions of this Agreement, may be taxed in the Hong Kong Special Administrative Region, India shall allow as a deduction from the tax on the income of that resident, an amount equal to the tax paid in the Hong Kong Special Administrative Region.

Detailed explanation-4: -There is no U.S. Hong Kong Tax Treaty. But, even though the U.S. and Hong Kong do not have a bilateral tax treaty in place, if a U.S person (Citizen, Legal Permanent Resident or Foreign who meets the Substantial Presence Test) has Hong Kong Assets and/or income - they may have to report to the IRS.

Detailed explanation-5: -Currently, Hong Kong SAR has entered into 45 tax treaties with different jurisdictions as shown in the following table. All of the following treaties have been ratified and are effective unless indicated otherwise in the notes below. The treaty is effective from the year of assessment 2022/23 in Hong Kong SAR.