1964_ESTATE_DUTY_ORDINANCE — Page 70

HK Historical Laws 香港歷史法例 All AI Reviewed

1983 Ed.]

Estate Duty

{CAP. 111

(3) If a transfer of any of the added assets or of any interest in any of them was made to the company by the deceased, the benefits accruing to the deceased from the company shall be ascertained as if the amount brought into the income of the company under sub-paragraph (2) by reference to the value of the addition of those assets had been income of the company which the deceased was entitled to receive immediately on its accrual to the company, or had been such income to an extent corresponding to the proportion which the value of the interest transferred bore to the value of those assets, as the case may be.

(4) Where sub-paragraph (3) has effect, if the deceased received as consideration for the addition of the assets in question an interest in any shares in or debentures of the company in respect of which estate duty would be payable on his death apart from anything in section 40(3), any amount which is treated as a benefit accruing to him from the company by virtue of that sub-paragraph shall be treated for the purposes of section 40(3) as a benefit accruing to him by virtue of his interest in those shares or debentures.

(5) In this paragraph, the expression "value of the addition" means, in relation to any added assets, the value thereof or, if partial consideration, other than an issue of, or an alteration of rights attaching to, shares in or debentures of the company, was given therefor in money or money's worth out of the resources or at the expense of the company, the value thereof less the value of the consideration given.

Prevention of duplication of charge in respect of benefits and charge in respect of shares

5. For the purposes of section 40(3), where the benefits that accrued to the deceased from the company in the relevant accounting years included benefits that accrued to him otherwise than as mentioned in that subsection, but the deceased had at any time an interest in, or a power was at any time exercisable in relation to, shares in or debentures of the company in respect of which estate duty would be payable on his death apart from anything in that subsection, and by virtue of that interest or power benefits accrued to the deceased from the company in those years, or would so have accrued to him if any payments had been made by virtue of rights attached to those shares or debentures, then-

(a) if the first-mentioned benefits consisted to any extent of payments made out of moneys which, if not so applied, could have been applied in increasing the last-mentioned benefits, or as payments which would have constituted such benefits; or

(b) if the first-mentioned benefits are brought into the computation made under section 35(2) to the exclusion to any extent of the last-mentioned benefits,

the first-mentioned benefits shall to that extent be treated as if they had accrued to the deceased by virtue of his interest in, or of the power exercisable in relation to, the said shares or debentures.

Accounting Year

(1) The expression "accounting year" means in relation to a company, if the company has, before the death of the deceased, made up accounts for a period of 12 months ending in the last year of his life, that period and each previous period of 12 months ending on the date corresponding to that to which the accounts were made up, or, if not, a period of 12 months ending on such date in the last year of his life as the Commissioner may determine and each previous period of 12 months ending on the date corresponding to the date determined.

(2) The expression "relevant accounting years" means the accounting years by reference to which the extent of the passing of the assets of the company is to be determined under section 35.

(3) Where an accounting year does not coincide with a period for which accounts of the company were made up, the Commissioner may, for the purpose of determining the profits or net profits of the company for that accounting year, divide any such period and make such apportionments and aggregations of the profits of the company as may be necessary, so, however, that any apportionments so made shall be made in proportion to the number of months or fractions of months in the respective periods for which the apportionment is made.

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1983 Ed.] Estate Duty {CAP. 111 69 (3) If a transfer of any of the added assets or of any interest in any of them was made to the company by the deceased, the benefits accruing to the deceased from the company shall be ascertained as if the amount brought into the income of the company under sub-paragraph (2) by reference to the value of the addition of those assets had been income of the company which the deceased was entitled to receive immediately on its accrual to the company, or had been such income to an extent corresponding to the proportion which the value of the interest transferred bore to the value of those assets, as the case may be. (4) Where sub-paragraph (3) has effect, if the deceased received as consideration for the addition of the assets in question an interest in any shares in or debentures of the company in respect of which estate duty would be payable on his death apart from anything in section 40(3), any amount which is treated as a benefit accruing to him from the company by virtue of that sub-paragraph shall be treated for the purposes of section 40(3) as a benefit accruing to him by virtue of his interest in those shares or debentures. (5) In this paragraph, the expression "value of the addition" means, in relation to any added assets, the value thereof or, if partial consideration, other than an issue of, or an alteration of rights attaching to, shares in or debentures of the company, was given therefor in money or money's worth out of the resources or at the expense of the company, the value thereof less the value of the consideration given. Prevention of duplication of charge in respect of benefits and charge in respect of shares 5. For the purposes of section 40(3), where the benefits that accrued to the deceased from the company in the relevant accounting years included benefits that accrued to him otherwise than as mentioned in that subsection, but the deceased had at any time an interest in, or a power was at any time exercisable in relation to, shares in or debentures of the company in respect of which estate duty would be payable on his death apart from anything in that subsection, and by virtue of that interest or power benefits accrued to the deceased from the company in those years, or would so have accrued to him if any payments had been made by virtue of rights attached to those shares or debentures, then- (a) if the first-mentioned benefits consisted to any extent of payments made out of moneys which, if not so applied, could have been applied in increasing the last-mentioned benefits, or as payments which would have constituted such benefits; or (b) if the first-mentioned benefits are brought into the computation made under section 35(2) to the exclusion to any extent of the last-mentioned benefits, the first-mentioned benefits shall to that extent be treated as if they had accrued to the deceased by virtue of his interest in, or of the power exercisable in relation to, the said shares or debentures. 6. Accounting Year (1) The expression "accounting year" means in relation to a company, if the company has, before the death of the deceased, made up accounts for a period of 12 months ending in the last year of his life, that period and each previous period of 12 months ending on the date corresponding to that to which the accounts were made up, or, if not, a period of 12 months ending on such date in the last year of his life as the Commissioner may determine and each previous period of 12 months ending on the date corresponding to the date determined. (2) The expression "relevant accounting years" means the accounting years by reference to which the extent of the passing of the assets of the company is to be determined under section 35. (3) Where an accounting year does not coincide with a period for which accounts of the company were made up, the Commissioner may, for the purpose of determining the profits or net profits of the company for that accounting year, divide any such period and make such apportionments and aggregations of the profits of the company as may be necessary, so, however, that any apportionments so made shall be made in proportion to the number of months or fractions of months in the respective periods for which the apportionment is made. Page 70 Page 71

Baseline (Original)

1983 Ed.] Estate Duty {CAP. 111 69 (3) If a transfer of any of the added assets or of any interest in any of them was made to the company by the deceased, the benefits accruing to the deceased from the company shall be ascertained as if the amount brough into the income of the company under sub-paragraph (2) by reference to the value of the addition of those assets had been income of the company which the deceased was entitled to receive immediately on its accrual to the company, or had been such income to an extent corresponding to the proportion which the value of the interest transferred bore to the value of those assets, as the case may be. (4) Where sub-paragraph (3) has effect, if the deceased received as considera- tion for the addition of the assets in question an interest in any shares in or debentures of the company in respect of which estate duty would be payable on his death apart from anything in section 40(3), any amount which is treated as a benefit accruing to him from the company by virtue of that sub-paragraph shall be treated for the purposes of section 40(3) as a benefit accruing to him by virtue of his interest in those shares or debentures. (5) In this paragraph, the expression "value of the addition” means, in relation to any added assets, the value thereof or, if partial consideration, other than an issue of, or an alteration of rights attaching to, shares in or debentures of the company. was given therefor in money or money's worth out of the resources or at the expense of the company, the value thereof less the value of the consideration given. Prevention of duplication of charge in respect of benefits and charge in respect of shares 5. For the purposes of section 40(3), where the benefits that accrued to the deceased from the company in the relevant accounting years included benefits that accrued to him otherwise than as mentioned in that subsection, but the deceased had at any time an interest in, or a power was at any time exercisable in relation to, shares in or debentures of the company in respect of which estate duty would be payable on his death apart from anything in that subsection, and by virtue of that interest or power benefits accrued to the deceased from the company in those years, or would so have accrued to him if any payments had been made by virtue of rights attached to those shares or debentures, then- (a) if the first-mentioned benefits consisted to any extent of payments made out of moneys which, if not so applied, could have been applied in increasing the last-mentioned benefits, or as payments which would have constituted such benefits; or (b) if the first-mentioned benefits are brought into the computation made section 35(2) to the exclusion to any extent of the last-mentioned benefits. the first-mentioned benefits shall to that extent be treated as if they had accrued to the deceased by virtue of his interest in, or of the power exercisable in relation to, the said shares or debentures. 6. Accounting Year (1) The expression "accounting year" means in relation to a company, if the company has, before the death of the deceased. made up accounts for a period of 12 months ending in the last year of his life, that period and each previous period of 12 months ending on the date corresponding to that to which the accounts were made up, or, if not, a period of 12 months ending on such date in the last year of his life as the Commissioner may determine and each previous period of 12 months ending on the date corresponding to the date determined. (2) The expression "relevant accounting years” means the accounting years by reference to which the extent of the passing of the assets of the company is to be determined under section 35. (3) Where an accounting year does not coincide with a period for which accounts of the company were made up, the Commissioner may. for the purpose of determining the profits or net profits of the company for that accounting year, divide any such period and make such apportionments and aggregations of the profits of the company as may be necessary, so, however, that any apportionments so made shall be made in proportion to the number of months or fractions of months in the respective periods for which the apportionment is made. Page 70Page 71

2026-05-04 16:47:06 · Baseline

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1983 Ed.]

Estate Duty

{CAP. 111

(3) If a transfer of any of the added assets or of any interest in any of them was made to the company by the deceased, the benefits accruing to the deceased from the company shall be ascertained as if the amount brough into the income of the company under sub-paragraph (2) by reference to the value of the addition of those assets had been income of the company which the deceased was entitled to receive immediately on its accrual to the company, or had been such income to an extent corresponding to the proportion which the value of the interest transferred bore to the value of those assets, as the case may be.

(4) Where sub-paragraph (3) has effect, if the deceased received as considera- tion for the addition of the assets in question an interest in any shares in or debentures of the company in respect of which estate duty would be payable on his death apart from anything in section 40(3), any amount which is treated as a benefit accruing to him from the company by virtue of that sub-paragraph shall be treated for the purposes of section 40(3) as a benefit accruing to him by virtue of his interest in those shares or debentures.

(5) In this paragraph, the expression "value of the addition” means, in relation to any added assets, the value thereof or, if partial consideration, other than an issue of, or an alteration of rights attaching to, shares in or debentures of the company. was given therefor in money or money's worth out of the resources or at the expense of the company, the value thereof less the value of the consideration given.

Prevention of duplication of charge in respect of benefits and charge in respect of shares

(b) if the first-mentioned benefits are brought into the computation made

section 35(2) to the exclusion to any extent of the last-mentioned benefits.

Accounting Year

(1) The expression "accounting year" means in relation to a company, if the company has, before the death of the deceased. made up accounts for a period of 12 months ending in the last year of his life, that period and each previous period of 12 months ending on the date corresponding to that to which the accounts were made up, or, if not, a period of 12 months ending on such date in the last year of his life as the Commissioner may determine and each previous period of 12 months ending on the date corresponding to the date determined.

(2) The expression "relevant accounting years” means the accounting years by reference to which the extent of the passing of the assets of the company is to be determined under section 35.

(3) Where an accounting year does not coincide with a period for which accounts of the company were made up, the Commissioner may. for the purpose of determining the profits or net profits of the company for that accounting year, divide any such period and make such apportionments and aggregations of the profits of the company as may be necessary, so, however, that any apportionments so made shall be made in proportion to the number of months or fractions of months in the respective periods for which the apportionment is made.

1964_ESTATE_DUTY_ORDINANCE — Page 70

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