'Taxation Tutorial 2011/12\r'

'CC3155 tax Tutorial 1 (2009/10 Semester 1) Suggested Answers to Tutorial Questions (Lecture 1) Overview of the Hong Kong Tax System and regime A) Quiz 1. 2. 3. 4. 5. 6. 7. 8. F T T T F T E The chargeable soul a) Salaries assess: person who has income from employment, office or subvention deriving from HK, b) Property tax: owner of defeat/buildings in HK, and c) Profits tax: person who carries on a trade, profession or business in HK. 9. April 1st, March 31st, April 1st 2008, March 31st 2009. 0. (a & b) 2007/08; (c & d) 2008/09. B) move Questions 1. The characteristics (features) of Hong Kong tax system are: • Territorial obtain Concept • Schedular tax system • Direct sound judgment • Limitation to the standard rate • Low tax rates • No capital gains tax • No tax on dividend income 2. The following bodies are twisting in the administration of income taxes in Hong Kong: • Inland tax income Department (IRD) • b oard of Inland Revenue (BIR) • Board of Review (BoR) 3.The source of Hong Kong tax law comprises: • polity law • Case law 1 CC3155 Taxation ______________ 4. Tutorial Answer 1 (2008/09 Semester 1) Composition BIR: consists the fiscal Secretary and 4 other members, appointed by the Chief executive director. The CIR is one of the members and a DCIR is the secretary of the BIR. BoR: consists of a chairman and a number of deputy chairman and not more than 150 other members, every last(predicate) of whom are appointed by the Chief Executive (s65). Functions BIR: To make rules called Inland Revenue Rules (IRR) • To specify the forms (e. g. obscure tax return) which are necessary for carrying out the feed of the IRO • To prescribe the procedure to be followed when appealing to the BoR with motion from Jun13,1997 BoR: • To hear taxpayers’ appeals against the CIR’s or DCIR’s determination, s82A superfluous tax and penalty †¢ To approve CIR’s coating for the taxpayer to file a statement of assets and liabilities under s51A(1). 2\r\n'