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Volume 14 First Supplement

Publication Date: Jan 2000

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DIGEST OF CASES REPORTED

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  Decision No. Download
PENALTY TAX    

background of the taxpayer - cooperation with the assessor - uniform rate of penalty tax assessment  

D33/99 Download D33/99 (DOC) - English Download D33/99 (PDF) - English

extension of time - notice of appeal filed out of time - ss 66(1A) and 82A of the Inland Revenue Ordinance  

D32/99 Download D32/99 (DOC) - English Download D32/99 (PDF) - English

failure to include in tax return a sizable taxable gratuity - no reasonable excuse - penalty not excessive - Inland Revenue Ordinance, Chapter 112, s 82A  

D14/99 Download D14/99 (DOC) - English Download D14/99 (PDF) - English

incorrect profits tax return - without reasonable excuse - penalty under s 82A of the Inland Revenue Ordinance  

D13/99 Download D13/99 (DOC) - English Download D13/99 (PDF) - English

incorrect salaries tax return - failure to disclose certain sums chargeable to tax - lack of detailed knowledge of Hong Kong tax law - 10% penalty - whether a reasonable excuse existed under s 82A of the Inland Revenue Ordinance  

D27/99 Download D27/99 (DOC) - English Download D27/99 (PDF) - English

incorrect salaries tax return - ss 11D(a), 51, 68(4), 68(8)(a), 82A and 82B of the Inland Revenue Ordinance  

D34/99 Download D34/99 (DOC) - English Download D34/99 (PDF) - English

s 82A of the Inland Revenue Ordinance - late filing of returns - whether quantum of penalty excessive - whether professional advisers' negligence a mitigating factor  

D31/99 Download D31/99 (DOC) - English Download D31/99 (PDF) - English

standard practice of Inland Revenue Department to draw attention of the taxpayer the possibility to impose penalty tax - whether withdrawal of the objection was part of a full and final settlement - whether the Commissioner was barred to assess penalty tax  

D36/99 Download D36/99 (DOC) - English Download D36/99 (PDF) - English

taxpayer's return filed late - factors to be taken into account to assess propriety of additional tax being imposed - good track record of submitting returns on time - lack of candour on the part of the taxpayer - mitigating circumstances - ss 82A and 82B(2)(c) of the Inland Revenue Ordinance ('IRO')  

D26/99 Download D26/99 (DOC) - English Download D26/99 (PDF) - English
PROFITS TAX    

acquisition and sale of property - intention at time of purchase - change of intention after purchase - date of change of intention - burden of proof on purchaser - whether tax chargeable upon revaluation of property - s 68(4) of the Inland Revenue Ordinance  

D180/98 Download D180/98 (DOC) - English Download D180/98 (PDF) - English

acquisition of property - intention of taxpayer at time of acquisition - burden of proof on purchaser - lack of supporting evidence fatal to the appeal - ss 14(1) and 68(4) of the Inland Revenue Ordinance ('IRO') - discretion to order costs under s 68(9) of the IRO  

D9/99 Download D9/99 (DOC) - English Download D9/99 (PDF) - English

application for an extension of time to appeal against the determination of the Commissioner - meaning of 'other reasonable cause' under s 66(1A) of the Inland Revenue Ordinance  

D4/99 Download D4/99 (DOC) - English Download D4/99 (PDF) - English

deductible expense - management fee accountable to service company - ss 16 and 68(9) of the Inland Revenue Ordinance  

D17/99 Download D17/99 (DOC) - English Download D17/99 (PDF) - English

deduction in assessable profit in preceding year on the basis of loss on securities found to be missing - all the lost shares recovered - whether gains on disposal of recovered shares should be charged to tax  

D11/99 Download D11/99 (DOC) - English Download D11/99 (PDF) - English

future contracts in USA - whether outgoings deductible - Inland Revenue Ordinance, s 16(1)    

D29/99 Download D29/99 (DOC) - English Download D29/99 (PDF) - English

interest income - whether the taxpayer took part in the transaction as trader or as agent - whether the business carried on in Hong Kong - s 15(1)(f) of the Inland Revenue Ordinance - whether the interest income has accrued to the taxpayer  

D20/99 Download D20/99 (DOC) - English Download D20/99 (PDF) - English

profits realized from sale of property - whether for investment or trading purpose - intention of taxpayer at the time of acquisition - Inland Revenue Ordinance, Chapter 112, s 68(4)  

D15/99 Download D15/99 (DOC) - English Download D15/99 (PDF) - English

profits realized from sale of property - whether for investment or trading purpose - intention of taxpayer at the time of acquisition - Inland Revenue Ordinance, Chapter 112, ss 2(1), 14(1) and 68(4)  

D28/99 Download D28/99 (DOC) - English Download D28/99 (PDF) - English

service company - management fee - whether deductible in computing the assessable profit - Practice Note No. 24 - Inland Revenue Ordinance, Chapter 112, ss 16, 17, 61, 64, 68(4) and Rule 2A(1) of the Inland Revenue Rules  

D19/99 Download D19/99 (DOC) - English Download D19/99 (PDF) - English

whether assets purchased medical records or goodwill - whether plant and thus qualifying for depreciation allowances  

D23/99 Download D23/99 (DOC) - English Download D23/99 (PDF) - English

whether gain on disposal of properties was of capital or trade in nature  

D10/99 Download D10/99 (DOC) - English Download D10/99 (PDF) - English

whether the sale of a property was a sale of capital asset or trading stock - testing the taxpayer's assertion against the surrounding circumstances - under what circumstances would the rebuilding allowance be granted - ss 14(1) and 60 of the Inland Revenue Ordinance    

D30/99 Download D30/99 (DOC) - English Download D30/99 (PDF) - English
SALARIES TAX    

allowable deductions - meaning of 'outgoings and expenses' - whether taxpayer entitled to claim deductions - s 12(1)(a) of the Inland Revenue Ordinance  

D8/99 Download D8/99 (DOC) - English Download D8/99 (PDF) - English

ascertaining the number of employment contract and the source of income - the Commissioner is entitled to scrutinize all evidence, documentary or otherwise, that is relevant to the matter concerned - ss 8(1), 12(1)(a) and 68(4) of the Inland Revenue Ordinance  

D35/99 Download D35/99 (DOC) - English Download D35/99 (PDF) - English

income - severance payments and long service payments - ss 8 and 9(1)(a) of the Inland Revenue Ordinance - ss 31B(2), 31J(2), 31R, 31T(1) and 31T(2) of the Employment Ordinance  

D25/99 Download D25/99 (DOC) - English Download D25/99 (PDF) - English

whether the housing allowance is exempt from salaries tax assessment - Inland Revenue Ordinance, s 9(1)(a)  

D18/99 Download D18/99 (DOC) - English Download D18/99 (PDF) - English

 

Note: The latest position of unsettled appeals is shown in either (a) Table of Appeals to Court of First Instance or (b) Table of Appeals to Court of Appeal/Court of Final Appeal. When the final outcome of an appeal is known, the position is set out in either table and will disappear in the next issue of Board of Review Decisions.

To view "Table of Appeals to Court of First Instance/Court of Appeal/Court of Final Appeal" (position as at 30.11.1999), please click here.

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