Want to pay Income Tax in Hong Kong

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  1. #1

    Join Date
    Mar 2010
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    1

    Want to pay Income Tax in Hong Kong

    Hi all,

    Rather silly question, but I can't seem to find the right answer anywhere.

    I work for a rather international company based in the UK. I can be paid over there, and paid in HK. Naturally, getting paid in HK is more attractive given the taxation element (maximum 17% income tax) - but do I have to spend a minimum amount of time in HK to be able to do that?

    The plan - get an HK work permit, get paid through HK company, but rather spend maybe 50-100 days of the year in HK. Will that work? Will that work if I also get paid back home in UK as well, a portion of my salary?

    Many thanks - looking forward to your advise!


  2. #2

    Join Date
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    This is not a HK tax question, it's a UK tax question. So best asked there. In HK you are taxed on the income that is due to working in HK - so you could probably swing only paying tax on the 50 or 100 days' worth; but I doubt the UK taxman would see you are a non resident and thus would probably tax you for 365 minus 50 or 100; or the full 365, in the UK.


  3. #3

    Join Date
    Jul 2004
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    The UK would tax you on the full years salary. You would still be resident in the UK and be liable for tax at the prevailing rate.


  4. #4

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    Sarcasm - because beating the crap out of people is illegal
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    Look at Tax treatment of HK & non-HK employments and Days-in-days-out basis: http://www.ird.gov.hk/eng/pdf/pam42e.pdf


    P.S. It's called Salaries Tax here.


  5. #5

    Join Date
    Jun 2005
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    23,181

    Where you get paid (and in what currency) is more or less irrelevant. It is where you are regarded as tax-resident and where you do the work that are the most important factors.


  6. #6

    Join Date
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    And of course now "centre of gravity"
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