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2019 Tax Assessment Not Received

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  1. #41

    Join Date
    Nov 2007
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    Wanchai
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    3,999

    Damn wasnt the concession 30,000 last year?


  2. #42

    Join Date
    Oct 2006
    Location
    Hong Kong
    Posts
    13,470
    Quote Originally Posted by Trebor
    Damn wasnt the concession 30,000 last year?
    Got to pay for that expired tear gas.

  3. #43

    Join Date
    Jun 2014
    Posts
    239

    $20k last year. it was $30k in the 17/18 tax year (but up to 75% of the tax due, not 100% like last year)

    as for the 2 weeks per month HK, if you are in HK fo r >60 days each tax year you fall within the scope of HK tax.

    If you are in Australia permanently with trips out of Australia, on the assumption that you are or become an Aussie tax resident you would also be required to be subject to PAYG +super on your monthly income. if you end up being double taxed you will need to pay HK tax on your HK workdays and claim a foreign tax credit on the aussie side to relieve double tax.

    My 2 cents is that you engage an accountant on this. If you are changing your work location, you should also be getting some sort of Australian employment contract. technically the australia corporate entity would have a requirement to file employer return forms to the HK IRD. In addition by being in HK on a recurring basis for a relatively long time you are exposiing the australian entity to corporate tax risk in HK by way of permanent establishment risk.

    So I suppose my point is that your situation is more complicated than your boss approving this arrangement. There are local and cross border corporate and personal taxes at play here.

    Final point on compliance is to make sure you have the right to work in both locations (ie work visas etc).


  4. #44
    bdw
    bdw is offline

    Join Date
    Feb 2009
    Posts
    5,526
    Quote Originally Posted by Shiojiri Hiro
    $20k last year. it was $30k in the 17/18 tax year (but up to 75% of the tax due, not 100% like last year)

    as for the 2 weeks per month HK, if you are in HK fo r >60 days each tax year you fall within the scope of HK tax.

    If you are in Australia permanently with trips out of Australia, on the assumption that you are or become an Aussie tax resident you would also be required to be subject to PAYG +super on your monthly income. if you end up being double taxed you will need to pay HK tax on your HK workdays and claim a foreign tax credit on the aussie side to relieve double tax.

    My 2 cents is that you engage an accountant on this. If you are changing your work location, you should also be getting some sort of Australian employment contract. technically the australia corporate entity would have a requirement to file employer return forms to the HK IRD. In addition by being in HK on a recurring basis for a relatively long time you are exposiing the australian entity to corporate tax risk in HK by way of permanent establishment risk.

    So I suppose my point is that your situation is more complicated than your boss approving this arrangement. There are local and cross border corporate and personal taxes at play here.

    Final point on compliance is to make sure you have the right to work in both locations (ie work visas etc).
    Thanks yeah a lot of things at play. Actually I was going to keep getting paid in HKD on HK contract while living in Aus, but thats actually harder with all the double tax issues involved and then having to claim foreign income offset etc in Aus. What I am doing now is cutting ties with HK company, new contract with Aus subsidiary, should in theory make things a lot more straight forward. Just my HK HR being 'by the book' pricks and now withholding my salary until IRD clears it.

  5. #45

    Join Date
    Jun 2014
    Posts
    239

    I mean...they are required by law to do so.

    Assume it's too late now but you can take your employers form to the IRD in Wanchai to clear the tax in person. if you go in the morning they will be able to give you your tax bill and letter of release the same day upon payment of any outstanding taxes.

    Quote Originally Posted by bdw
    Thanks yeah a lot of things at play. Actually I was going to keep getting paid in HKD on HK contract while living in Aus, but thats actually harder with all the double tax issues involved and then having to claim foreign income offset etc in Aus. What I am doing now is cutting ties with HK company, new contract with Aus subsidiary, should in theory make things a lot more straight forward. Just my HK HR being 'by the book' pricks and now withholding my salary until IRD clears it.
    CharSiuNow, hongkong7 and bdw like this.

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