4 Feb 2016
COMMISSIONER OF INLAND REVENUE v. CHURCH BODY OF THE HONG KONG SHENG KUNG HUI AND ANOTHER
- Citation
- COMMISSIONER OF INLAND REVENUE v. CHURCH BODY OF THE HONG KONG SHENG KUNG HUI AND ANOTHER
- Court
- Court of Final Appeal
- Case number
- FACV16/2015
No absolute "enhancement for realisation" principle exists; enhancement activities must be assessed against all badges of trade and the 7th badge (expenditure beyond a non‑trader) is critical. The Board of Review's finding that HKSKH changed intention by September 1989/December 1990 was unsupported because the Board failed to apply the 7th badge and its inference was not the only reasonable conclusion on the primary facts; accordingly the Court dismisses the Commissioner's appeal, sets aside the Board's decision for those dates and remits the matter to the Board to determine the actual date o…