MPF withdrawal & Tax for leaving HK: what is the correct process?

[blablamish]

Hi, Everyone

I need some advice, I plan to leave Hong Kong permanently for awhile after my last working day with employer. I currently have two MPF's. I only want to withdraw one of them(which is an old MPF from pervious employer).

Do I need to submit IR56G and pay tax first! (with current employer) Or do I submit doc's now as it takes 30 days to process and then pay tax. What is the correct process?

[Fiona in HKG]

Hi, Everyone

I need some advice, I plan to leave Hong Kong permanently for awhile after my last working day with employer. I currently have two MPF's. I only want to withdraw one of them(which is an old MPF from pervious employer).

Do I need to submit IR56G and pay tax first! (with current employer) Or do I submit doc's now as it takes 30 days to process and then pay tax. What is the correct process?

Firstly "permanently for awhile (sic)"?

From Early Withdrawal of Benefits

2. Permanent departure from Hong Kong. You must declare that you have departed or will depart from Hong Kong to reside elsewhere with no intention of returning for employment or to resettle in Hong Kong as a permanent resident, and provide proof satisfying the trustee that you are permitted to reside in a place outside Hong Kong.

Note: For scheme members who have previously been paid accrued benefits on this ground, accrued benefits WILL NOT be paid by trustees for all subsequent applications with a later departure date. The MPFA keeps a register of all scheme members who previously withdrew accrued benefits on ground of permanent departure from Hong Kong. Scheme members who make a false or misleading statement to trustees for early withdrawal of accrued benefits are liable to prosecution.

Firstly you will be lying about your permanent departure from Hong Kong. There is no "permanently for awhile". Some people have left not realising they'd be returning, you are clearly stating you are returning.

Not sure how MPFA keep track of multiple accounts so they may have visibility on your two accounts. If you leave one, you are clearly not leaving for good. If you take both and return, your next MPF account is locked until retirement age. If you take one and go under the radar, the second one will be locked until retirement age, as will your new account.

[blablamish]

"leaving for awhile" meaning leaving for a few years. Sorry for the poor English