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Cashing a non-negotiable IRD cheque

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  1. #1

    Join Date
    Jun 2013
    Posts
    7

    Cashing a non-negotiable IRD cheque

    Hey guys.

    I just got a cheque for $2000 which is a refund from Inland Revenue Department for overpaid taxes. The cheque is in the name of my company.

    However, this company doesn't have a bank account in Hong Kong.

    The cheque is "not negotiable / account payee only"

    Is there any other way to cash the cheque?
    - Can I try to cash it with an authorization letter?
    - Any chance I could still try to deposit it into my personal account via a machine?

    Thanks everyone.


  2. #2

    Join Date
    Jan 2008
    Posts
    1,977

    No. You have to deposit in your bank account. Ask the bank to send the cheque for collection.


  3. #3

    Join Date
    Dec 2008
    Location
    -
    Posts
    1,663

    If the payee's name doesn't match the bank account's you will not be able to cash the cheque.


  4. #4

    Join Date
    Aug 2014
    Posts
    450
    Quote Originally Posted by Oldtimer
    No. You have to deposit in your bank account. Ask the bank to send the cheque for collection.
    Reviving this old post as I have exactly the same situation with a cheque from IRD made out to a company that doesnt have a bankaccount anymore. I never used a cheque in my life so what does this mean, asking the bank to send the cheque for collection? What an archaic system this is. I paid tax electronically from a personal account and get back over 80.000 HKD with a cheque from IRD that I cannot deposit?

  5. #5

    Join Date
    Dec 2002
    Location
    ???
    Posts
    28,440

    Might want to go to IRD and check.

    Not sure if this can be done easily though... is it a LTD company?

    If you don't have a bank account in the name of the co, the bank will not accept.

    You may also go to the Refund Section at 5/F, Revenue Tower with the refund cheque and your identity document.

    Request to change payee's name on the cheque to a third party's name

    To protect the interests of taxpayers and prevent abuse, we normally will not accept requests for change of the payee's name on a refund cheque to a third party.

    Applications for special consideration should be accompanied by the following documents :-

    - The original refund cheque
    - Copy of identity document of the taxpayer
    - The authorization letter from taxpayer, if applicable
    - A duly completed and signed letter of indemnity from the new payee
    - Copies of other relevant legal documents in support of the application
    From: https://www.ird.gov.hk/eng/tax/refundchq.htm

  6. #6

    Join Date
    Aug 2014
    Posts
    450

    Totally annoying. The bank closed this account already two years ago. I had a tax dispute over 2012-2013 tax and while being disputed IRD asked me to pay the disputed amount which I did from personal account. Now IRD ruled in my favor (great) but makes out a cheque to my company.

    Yes, it is a linited and I am sole director and shareholder. Maybe that makes it possible?. I would check with IRD but am not in Hong Kong for another week.

    from the link you send it says: Refund cheque should be deposited in your bank account within 6 months from the cheque issue date. Balances, if unclaimed, may be applied for set off against any tax payable by you.

    I have a little bit of tax to pay for this LTD (due end of July) for another disputed year. As it so happens that tax to pay is slightly higher then the amount I received in cheque. So this IRD website seems to suggest that they will offset it against tax to pay if I dont collect it? If so I leave it be and only pay the difference between amount due and amount received.

    Last edited by Edwardstorm; 20-06-2019 at 03:23 PM.

  7. #7

    Join Date
    Dec 2002
    Location
    ???
    Posts
    28,440

    Email them?

    Profits Tax (Corporation/Partnership) [email protected]
    Edwardstorm likes this.