MR. WOOD
Action Item
a. Consider arrangements to
resolve the incidence of
double taxation between
Hong Kong and China
SECRET
Annex I
Section V
The Financial System
GD Branch Liaison Officer : PAS(GD)2
Whether
Consultation
with the
Chinese is
Action
Action
Officer
necessary and if so timing
Start Date
Present Position
* DFS
*CIR
Necessary.
Pending the
problem,
both
*S (GD)
result of CIR's
LO (SD)
further re-
Jan 1986 Partly in recognition of the
have since introduced certain 1988
tax
Target Completion Date
Relevant Section/
Chapter of
I
the Basic Law
Third
jurisdictions quarter
Chapter V
{
I
measures
which
1
search, he may
substantially
resolve the
have to make
issue
of double
taxation on
further informal
income
from employment.
contacts with
Chinese
Briefly, the changes are :-
On the Hong Kong side
officials later
on.
Key:
*
Action officer with overall responsibility
The
Inland
Revenue
(Amendment) (No.
2) Bill
1987 released
proposed exemption to
to
on 4.9.87,
grant tax
a person on
the
portion
of income
SECRET