Double Taxation Agreement Hong Kong Taiwan

Hong Kong residents are entitled to the possibility of avoiding double income tax under agreements between the central government of the People`s Republic of China and the Hong Kong Special Administrative Region government. China has signed more than 100 conventions to avoid double taxation (DBA), more than 10 tax information exchange agreements (TIEA), the Multilateral Convention on Mutual Tax Assistance and a multilateral convention for the implementation of tax treaty measures to prevent base erosion and profit transfer (multilateral instrument). Chinese DBAs have essentially followed the OECD`s model contractual agreement. 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. As of December 31, 2017, 32 comprehensive personal income tax agreements and 13 international transportation income tax conventions have been signed and entered into force. All tax treaties are listed below: the mutual agreement procedure takes place in two phases: if cross-border investment returns were taxed twice, global economic growth and expansion would be seriously hampered. Tax treaties between countries are designed to avoid such double taxation. Hong Kong has an extensive network of such contracts.

These contracts have strengthened their position as an economic hub for Southeast Asia and have helped to reduce tax barriers that impede the cross-border flow of trade, investment, technical know-how and know-how between Hong Kong and the rest of the world. A full list of global double taxation agreements can be accessed on the Department of Internal Revenues website. Here is a list of the global double taxation agreements being negotiated. Hong Kong`s tax treaty network aims to eliminate double taxation fraud on foreign investment by helping to structure transactions at minimal tax cost. At the end of 2016, Taiwan entered into comprehensive double taxation agreements with more than 30 countries. In addition, Taiwan has signed 13 double taxation agreements on air service revenues and marine revenues. Hong Kong has agreements to exchange tax information (TIEA) with the following legal systems: “Read” The country`s finance department accepts requests 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. Methods of double taxation relief are prescribed either in a country`s national tax legislation or under the specific DBA.