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Three orders made by the Chief Executive in Council under the Inland Revenue Ordinance were gazetted today (November 18). The orders implement the agreements with Portugal, Spain and the Czech Republic for the avoidance of double taxation and the prevention of fiscal evasion.
"The Comprehensive Agreements for Avoidance of Double Taxation (CDTAs) ensure that investors will not have to pay tax twice on a single source of income," a Government spokesman said.
"In simple terms, the CDTAs will bring tax savings and a higher degree of certainty on taxation rights for investors from the respective places when they engage in trade and investment activities with Hong Kong."
Highlights of the three CDTAs can be found in the Annex.
The orders will be tabled at the Legislative Council on November 23 for negative vetting. The CDTAs will only take effect after both Hong Kong and the treaty partners have completed their ratification procedures.
Hong Kong signed the CDTAs with Portugal on March 22, Spain on April 1 and the Czech Republic on June 6.
Ends/Friday, November 18, 2011
Issued at HKT 10:47
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