OECD's BEPS 2.0 Pillar One and Pillar Two Blueprints: What They Mean to Your Business
The OECD’s BEPS 2.0 Pillars One and Two framework aims to harmonise global taxation on the digital economy. In blueprints released on 12 October, the OECD set out the detailed technical design of various components of the proposals, including the attribution of profits by market jurisdiction and a global minimum tax. Cecilia Lee and Jesse Kavanagh, respectively Transfer Pricing Partner and Tax Partner at PwC Hong Kong, gave an overview of the proposals and discussed the implications for businesses at a webinar on 30 November. They advised companies to conduct an impact assessment of their existing business models given the effect the proposed changes could have on Hong Kong’s operating environment.
2020/11/30
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Handling Tax Disputes with the IRD: SME Dos and Don'ts
Mixing personal and business banking is a mistake commonly made by SMEs, and can make them more vulnerable to tax audits. Speaking at a webinar on 27 Nov, Karen Au and Angela Ho, respectively Partner and Associate Director at PwC Hong Kong, discussed the IRD’s auditing approach and ways for SMEs to handle inquiries by the tax authorities. They were joined by Manager Joyce Chak, who spoke on the “dos and don’ts” for businesses during a tax audit when they are being interviewed by the IRD.
2020/11/27
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Changes to the IRD's interpretation and practices on tax - What do these mean for your business?
The Inland Revenue Department has revised more than a dozen of its Departmental Interpretation and Practice Notes (DIPNs) during the course of 2020, on a range of areas including taxation of royalties and computation of assessable profits.
At a webinar on 24 November, Gwenda Ho and Ricky Chow, both Partners at PwC Hong Kong, provided an overview of a number of revised DIPNs and explained the impact that these may have on companies’ tax positions. They also advised taxpayers to do a stocktake of %their current business models to determine the extent of their tax exposure as a result of IRD’s revised assessment approach.
2020/11/24
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How to Manage Transfer Pricing Controversy in the Recent Hong Kong Tax Landscape
Taxpayers are advised to conduct periodic reviews of their intra-group transfer pricing (TP) arrangements, to minimise the potential for TP-related tax disputes with local tax authorities. At a webinar on 18 September, Wengee Poon and Karen Au, both Partners at PwC Hong Kong, spoke on the latest developments with TP-related regulations in Hong Kong against the backdrop of OECD-led measures to counter Base Erosion and Profit Shifting. They were joined by Managers Brian Wong and Joyce Chak, who shared a number of case studies on the Inland Revenue Department’s approach to handling TP issues.
2020/09/18
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The Business of Giving in Hong Kong – When is a Charity Taxable?
Charities should study the revised tax guide released by the Inland Revenue Department in April, given the important changes to the conditions for granting tax exemption status to charitable organizations. At a webinar on 17 July, Philip Hung and Felix Tsang, respectively Director and Senior Manager of PwC Hong Kong Tax Controversy Services, gave an overview of the updated tax guide and shared their insights on the implications of the revised guidelines on charities and donors. They also provided a number of case studies to help members understand common tax disputes that corporate charitable foundations may experience.
2020/07/17
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