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Tax Declarations - HK and Canada

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  1. #1

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    Oct 2011
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    Tax Declarations - HK and Canada

    I am a Canadian citizen, and am aware that Canada and HK do not, as yet, have a Tax Agreement, although apparently one is in the works. I have been living in HK for 3 years, originally as a student and now on work visa. I am planning on filing for non-residency in Canada for tax purposes, as I fit the criteria, however I am concerned about whether I will appear to be evading taxes. I have never received any tax papers from the HK government, and a coworker informed me that "small" incomes (I am earning 15,000HKD/month) are generally not taxed by the HK gov. This is great for me, however I am curious whether "proof" of paying taxes in HK will be necessary if I am to be considered a non-resident for Canadian taxes, or if the Canadian government only concerns itself with the Canadian side of things, and does not check whether I am legally required to pay taxes in my country of residence.

    Basically I am trying to avoid (a) tax evasion charges, and (b) being hit with a large bill of unpaid taxes later on.


    Thanks!!!


  2. #2

    Join Date
    Jan 2008
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    the threshold for no tax payment is HK$11,000( well, was last year), you will have to pay tax above this, however, considering ur modest wage, tax won't be much ( very minimal)

    better to be on the safe side and contact HK tax department in wan chai than risk of tax evasion ( esp for a very small amount of tax)


  3. #3

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    I know nothing about Canada, but I have done what you are suggesting for UK (my original home), Australia (second move) and NZ (third move). I'm also Australian, so both for UK and Australia I was a citizen moving away and stopping paying taxes. On NONE of these occasions has anyone cared where I went or what I paid when I got there, ONLY that I met the criteria to have left the place. Hope this helps.


  4. #4

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    Thank you all very much, that helps alot Also... I was "working" for a few months before my work visa came through - any tips on whether reporting this to the HK tax department is a safe idea? My MPF includes those few months... I'm not sure if the tax department would check with the visas section or vice versa.. I know they don't care if the wage is the same as you stated in your visa application.

    Thanks again!!!

    Last edited by katkatkat; 05-01-2013 at 04:15 AM.

  5. #5

    Join Date
    Feb 2012
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    Quote Originally Posted by katkatkat
    Thank you all very much, that helps alot Also... I was "working" for a few months before my work visa came through - any tips on whether reporting this to the HK tax department is a safe idea? My MPF includes those few months... I'm not sure if the tax department would check with the visas section or vice versa.. I know they don't care if the wage is the same as you stated in your visa application.

    Thanks again!!!
    Did your student visa allow you to work before your work visa came through?

  6. #6

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    No, it did not.


  7. #7

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    Did you graduate in HK with a Bachelor's degree or higher? If so you should have a IANG visa not a General Employment Visa, and you would have been entitled to that as soon as you graduated.


  8. #8

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    Quote Originally Posted by Gruntfuttock
    Did you graduate in HK with a Bachelor's degree or higher? If so you should have a IANG visa not a General Employment Visa, and you would have been entitled to that as soon as you graduated.
    No I did not. I did my bachelor's in Canada, and then completed a language diploma here, but it's not eligible for IANG, I've checked. Basically what I did was stay in HK on visitor status after graduation until I found a sponsor, hence the gap between when I started working unofficially and when my visa came through.
    Last edited by katkatkat; 09-01-2013 at 12:11 AM.

  9. #9

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    So the company that employed you illegally wasn't the one that eventually sponsored you? Do you know whether the company that employed you illegally filed an employer's tax return (IR56B) regarding you?

    I'm quite surprised you got an Employment Visa for a salary of $15k.

    Last edited by Gruntfuttock; 09-01-2013 at 12:18 AM.

  10. #10

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    Quote Originally Posted by Gruntfuttock
    So the company that employed you illegally wasn't the one that eventually sponsored you? Do you know whether the company that employed you illegally filed an employer's tax return (IR56B) regarding you?

    I'm quite surprised you got an Employment Visa for a salary of $15k.
    The company which sponsored me was the same one which employed me beforehand. I'm not sure if she submitted a tax return for the unsponsored time. Would this affect me?

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