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Ord. No. 43/89
INLAND REVENUE (AMENDMENT) (NO. 3)
HONG KONG
No. 43 of 1989
I assent.
L.S.
David WILSON,
Governor. 20 July 1989
An Ordinance to amend the Inland Revenue Ordinance in relation to the taxation of
husband and wife and for matters ancillary thereto or connected therewith.
[1 April 1990]
Enacted by the Governor of Hong Kong, with the advice and consent of the Legislative Council thereof.
Short title, commencement and application
1. (1) This Ordinance may be cited as the Inland Revenue (Amendment) (No. 3) Ordinance 1989.
(2) This Ordinance shall come into operation on 1 April 1990.
(3) This Ordinance shall apply in relation to the year of assessment commencing on 1 April 1989 and all subsequent years of assessment.
Interpretation
2.
(a)
Section 2 of the Inland Revenue Ordinance (Cap. 112) is amended— in subsection (1)———-
(i) by adding the following definitions in their appropriate alphabetical order-
"husband" means a married man whose marriage is a marriage within
the meaning of this section;
INLAND REVENUE (AMENDMENT) (NO. 3)
Ord. No. 43/89
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"marriage" means-
(a) any marriage recognized by the law of Hong Kong; or (b) any marriage, whether or not so recognized, entered into outside Hong Kong according to the law of the place where it was entered into and between persons having the capacity to do so, but shall not, in the case of a marriage which is both potentially and actually polygamous, include marriage between a man and any wife other than the principal wife,
and "married" shall be construed accordingly;
"specified form" means a form specified under section 86;
"spouse" means a husband or wife;"; and
(ii) by repealing the definitions of "wife" and "wife living apart from her husband" and substituting
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"wife" means a married woman whose marriage is a marriage within the
meaning of this section;"; and
(b) by adding after subsection (2)—
"(3) For the purposes of this Ordinance a husband and wife shall be deemed to be living apart when they are living apart-
Sections substituted
3.
(a) under a decree or order of a competent court in or outside Hong
Kong;
(b) under a duly executed deed of separation or any instrument of
similar effect; or
(c) in such circumstances that the Commissioner is of the opinion
the separation is likely to be permanent.".
Section 10 is repealed and the following substituted—
"Salaries tax on spouses to be paid separately
unless they elect to be jointly assessed
10. (1) In the case of a husband and wife, unless an election is made under subsection (2), salaries tax shall be payable on the net chargeable income of each spouse ascertained under this Part by the spouse to whom the income has accrued.
(2) Where in any year of assessment a husband and wife, not being a wife living apart from her husband, both have assessable income and
(a) either the husband or wife is entitled to allowances under Part V which are in excess of his or her net assessable income as reduced by approved charitable donations under section 12B(1)(a); or
(b) both also have a net chargeable income and the aggregate of the salaries tax which would be payable by them if subsection (1) applies exceeds the salaries tax which would be payable if an election is made under this subsection,
an election may be made by them, subject to section 11, to be assessed to salaries tax in the manner specified in subsection (3).
(3) Where an election is made by a husband and wife under subsection (2) salaries tax shall be payable on their aggregated net chargeable income as ascertained under section 12B(2) and in the case of an election-