Hongkong Legislative Council Approved The Draft Tax Bill

On the 25 reading of the tax (Amendment) Bill 2014, the Hongkong Special Administrative Region Legislative Council implemented the two major tax reduction measures proposed in the 2014/15 budget by the new regulations, including reducing taxpayers' salaries tax, personal income tax and profits tax one after another, as well as relaxing the tax exemption for taxpayers to support their parents' relatives.

　　 New regulations It is stipulated that the salaries tax, personal income tax and profits tax of 75% of the 2013 / 14 tax year are set at a maximum of 10 thousand Hong Kong dollars in each case.

A wide range of salaries tax and personal income tax will benefit some 1 million 740 thousand taxpayers. Profits tax It will benefit about 126000 companies that pay taxes and illegal businesses. The one-off tax reduction will reduce the corresponding tax revenue of the SAR government by about HK $10 billion 200 million.

Another tax reduction measure implemented by the new regulation is to increase. Salaries tax The amount of allowance granted to parents (grandparents and grandparents) under the personal income tax and personal income tax and the deduction limit for elderly residential care expenses.

The adjustment of the tax allowance and the deduction ceiling will benefit about 550 thousand taxpayers, and the SAR tax revenue will be reduced by about 300 million yuan per year.

Chen Jiaqiang, director of the financial services and Treasury Bureau of the Special Administrative Region, said that it was very pleased that the Legislative Council passed the bill today to allow the tax bureau to implement a one-off tax reduction in the tax bill issued this year. The deduction of one-time tax will be reflected in the final payable tax of the taxpayer in the 2013 / 14 tax year. Taxpayers do not have to apply for deduction of one-time tax deduction.

He said that the Inland Revenue Department would also adopt the increased allowances for the paternal parents (grandparents and grandparents) and the deduction of elderly residential care expenses for the applicable cases, and calculate the provisional tax for the year 2014 / 15.