Tax Arrangement for Residents of Hong Kong and Macao on Their Mainland Income
Since June 1 2012, residents of Hong Kong and Macao only levy individual income tax in mainland for their income obtained from mainland.
Lee & Lee Associates Comments: The above notice is a detail measure made by the State Tax Administration in implementing the Arrangement on income, signed between Mainland China and Hong Kong and Macao respectively, concerning elimination of duplication of tax payment and avoiding of tax evasion. Due to special status of the beneficiary of the Arrangement, residents of Hong Kong and Macao who have income from Mainland China shall pay attention to file materials required with tax authority each time when applying for enjoying policy of the Arrangement.
Relevant Rule: Notice of the State Administration of Taxation on Issues Concerning on Incomes Obtained from Employment between Mainland China and Hong Kong and Macao (Announcement of SAT No. 16[2012]) effective 1 June 2012.
