BSD jointly with a child

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  1. #1

    Join Date
    Oct 2007
    Location
    Hong Kong
    Posts
    856

    BSD jointly with a child

    I just had a thought this morning. I know BSD is exempted when held with a HKPR. So I went to the IRD website and found this:

    10. Q: If a residential property is acquired jointly by a HKPR and his/her spouse who is not a HKPR, will any BSD be payable?

    A: Acquisition of residential properties by a HKPR jointly with a close relative (i.e. spouse, parent, child, brother and sister) who is not a HKPR and each of them is acting on his/her own behalf is not chargeable with BSD.

    I'm trying to interpret in particular "each of them is acting on his/her own behalf is not chargeable with BSD." because my son is HKPR and he's 2!

    Me: "Son, want to buy this apt?"
    Son: "ga ga ga, yeah yeah"

    Does that cut it?
    Or does that sentence actually mean you can't use it in a trust structure? Or does that also exclude minor, i.e. they can't act on their own behalf and need an adult to act on behalf?


  2. #2

    Join Date
    Mar 2007
    Posts
    635

    I read from a newspaper the buyer must be 18 and above.


  3. #3

    Join Date
    Mar 2006
    Posts
    4,043

    A person would have to be able to exercise a contract and minor not 18 would not be able to do so nor would a person who is mentally incompetent or drunk.