Hong Kong Case Law: Decisions & Judgments

Topic

Territoriality of taxation

Legal area

Court

10 Dec 1992

COMMISSIONER OF INLAND REVENUE v. WARDLEY INVESTMENT SERVICES(HONG KONG) LTD.

Citation

COMMISSIONER OF INLAND REVENUE v. WARDLEY INVESTMENT SERVICES(HONG KONG) LTD.
Court

Court of Appeal
Case number

CACV77/1992

Majority held that the rebate formed part of the taxpayer's remuneration under the Hong Kong management contracts and that the taxpayer did the relevant operations in Hong Kong (debited the client and credited itself under the contract); therefore the rebates were profits arising in or derived from Hong Kong and assessable to profits tax.
9 Apr 1990

COMMISSIONER OF INLAND REVENUE v. HK-TVB INTERNATIONAL LTD

Citation

COMMISSIONER OF INLAND REVENUE v. HK-TVB INTERNATIONAL LTD
Court

Court of First Instance
Case number

HCIA9/1989

Where the taxpayer carried on the profit-generating operation in and from Hong Kong, profits from sub-licensing are sourced in Hong Kong and are chargeable to profits tax under s.14; only if a taxpayer establishes the existence of a profit-generating operation carried on outside Hong Kong can those profits escape the charge.
16 Jul 1971

THE COMMISSIONER OF INLAND REVENUE v. INTERNATIONAL WOOD PRODUCTS LTD

Citation

THE COMMISSIONER OF INLAND REVENUE v. INTERNATIONAL WOOD PRODUCTS LTD
Court

Court of First Instance
Case number

HCIA2/1971

The Board of Review's factual finding that the operations producing the commissions were carried out outside Hong Kong was supported by the evidence (sub-agents solicited and concluded orders, principals in the Philippines executed contracts and shipped goods, taxpayer merely received commission statements) and is final on a case stated; therefore the commissions did not arise in Hong Kong and the assessment was correctly annulled, and this court will not reappraise facts under s.69 except to correct errors of law.

Hong Kong Case Law

COMMISSIONER OF INLAND REVENUE v. WARDLEY INVESTMENT SERVICES(HONG KONG) LTD.

COMMISSIONER OF INLAND REVENUE v. HK-TVB INTERNATIONAL LTD

THE COMMISSIONER OF INLAND REVENUE v. INTERNATIONAL WOOD PRODUCTS LTD