Decision No
 

PENALTY TAX -
 

income was understated in two years of assessment - reliance placed upon his employer's return for full compliance of his obligation - absence of an intention to understate any income - personal circumstances not a reasonable excuse for omission - whether long absence from Hong Kong is a reasonable excuse for the omission or understatement - whether penalty at the rate of 15% under s 82A of Inland Revenue Ordinance ('IRO') excessive
 

deductions claimed in respect of mortgage interest incurred in relation to a flat - loan allegedly borrowed for purpose of producing rental income - factors to consider - s 42(1) of the Inland Revenue Ordinance
 

acquisition and sale of property - intention at time of purchase - burden of proof on purchaser to establish that property purchased for long term investment - credibility of the taxpayer before the Board
 

additional tax - sale of taxi and taxi licence - whether trade of buying and selling taxi and taxi licence - trade or capital assets - ss 14, 68(4) and 2(1) of the Inland Revenue Ordinance ('IRO') , Chapter 112
 

indigenous villager right - whether deductible costs
 

principal place of business in Hong Kong - certain business operations outside Hong Kong - source of profits - whether liable to profits tax - s 14 of the Inland Revenue Ordinance ('IRO')
 

long term mortgage taken out but quick sales - whether the sale of a property was a sale of capital asset or trading stock - s 14(1) of the Inland Revenue Ordinance ('IRO')
 

whether gain on sale of property capital or trade in nature
 

acquisition of property - intention of taxpayer at time of acquisition - burden of proof on purchaser - failure of taxpayer to attend re-fixed hearing - whether fatal to application - ss 68(2B) and 68(2D) of the Inland Revenue Ordinance ('IRO')
 

notice of appeal out of time - computation of time - extension of time - whether reasonable cause - s 66(1) of the Inland Revenue Ordinance ('IRO')
 

sale of property - whether profits derived from the sale of the property assessable to profits tax - whether intention to use as matrimonial home genuinely held , realistic and realizable
 

real property - whether the gains arising from the disposition of a property was liable for profits tax
 

nature of business - whether 'profits arising in or derived from Hong Kong' - agency - s 14 of the Inland Revenue Ordinance ('IRO')
 

whether gain on sale of property capital or trade in nature
 

real property - whether the gains arising from the disposition of a property was liable for profits tax
 

sale of property - intention - self-serving statement - onus of proof
 

acquisition and sale of property - intention at time of purchase - burden of proof on purchaser to establish that property purchased for long term investment - whether tax chargeable upon profits derived from sale of property - ss 2(1), 14, 16(1) and 68(4) of the Inland Revenue Ordinance
 

sale of property - intention at the time of acquisition - self-serving statements - one-off transaction - indicative of an acquisition for trading purpose - burden of proof
 

deductions - compensation for breach of agreement and commission for agent
 

real property - whether the gains arising from the disposition of a property was liable for profits tax - ss 2(1), 14 and 68(4) of the Inland Revenue Ordinance
 

gains derived from sale of company shares - date of assessment - s 9(1)(d) and s 9(4) of the Inland Revenue Ordinance ('IRO'), Chapter 112
 

nature of employment - whether services were performed in Hong Kong - s 8(1A)(b) of the Inland Revenue Ordinance ('IRO')