Volume 35 First Supplement
Publication Date: May 2021
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DIGEST OF CASES REPORTED
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Decision No. |
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PENALTY TAX |
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appeal out of time – reasonable excuse – whether additional tax excessive –sections 82A of the Inland Revenue Ordinance (‘IRO’) [Decision in Chinese] |
D13/19 |
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PRACTICE AND PROCEDURE |
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appellant absent from hearing without notifying the Board and respondent – whether appeal dismissed – whether appellant liable for costs – sections 68(2B), 68(2D), 68(8) and 68(9) of IRO [Decision in Chinese] |
D9/19 |
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PROFITS TAX |
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restricted shares scheme under employment contract – employment terminated due to redundancy – restricted shares released pursuant to settlement agreement – payment paid to appellant in assisting employer’s litigation – whether value of restricted shares and payment for assisting employer’s litigation income from appellant’s employment – sections 8, 9, 11B, 11C, 11D, 68(4), 70 of the Inland Revenue Ordinance (Chapter 112) (‘IRO’) |
D11/19 |
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sale of property – intention at time of acquisition – sections 2(1), 14(1) and 68(4) of the Inland Revenue Ordinance |
D15/19 |
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whether disposition of property is capital nature and not taxable – whether a property is trading stock or a capital asset – financial position of the Company to acquire the subject property for long term investment purposes – whether accounting treatment is a sufficient factor – appeal unsupported by evidence and is frivolous and vexatious |
D16/19 |
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whether profits generated in Hong Kong – whether sales took place in Hong Kong – failure to respond to Commissioner’s request for evidence on objection – whether the Board was properly seized of the appeal against a determination – section 14 and 70A of the Inland Revenue Ordinance (‘the Ordinance’) |
D14/19 |
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SALARIES TAX |
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appellant purchasing safety shoes for work – whether appeal out of time – whether expenses for purchasing safety shoes deductible – whether expenses wholly, exclusively and necessarily incurred in production of assessable profits – sections 12(1)(a) and 66(1) of Inland Revenue Ordinance (Chapter 112) (‘IRO’) [Decision in Chinese] |
D9/19 |
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discretionary bonus paid under a retirement agreement – whether the bonus was ‘hush money’ paid to the taxpayer or not – applicable test for testimonies of witnesses – costs imposed on the taxpayer/appellant – sections 8(1), 8(1)(a), 9(1)(a), 66(1), 66(3), 68(4), 68(9) of the Inland Revenue Ordinance (the ‘IRO’) |
D10/19 |
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whether salaries tax chargeable on bonus received – whether bonus paid for past service and performance – burden of proof to show otherwise – sections 8, 9 and 68 of the Inland Revenue Ordinance (‘the Ordinance’) |
D12/19 |
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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 30.11.2020), please click here.