Copying and distributing are prohibited without permission of the publisher

Hong Kong’s revenue commissioner to appeal Nice Cheer Investment ruling

21 November 2012

Joe Dalton

Hong Kong’s highest court will rule on the tax treatment of unrealised gains from trading investments after the Court of Appeal granted leave to the Inland Revenue Department (IRD) commissioner to appeal its decision in the Nice Cheer Investment case.

In granting leave to appeal, the court said it is satisfied the three questions presented by the commissioner are worthy of consideration by the Court of Final Appeal.

The commissioner's questions:

· is an increase in value above its acquisition cost of unsold stock-in-trade, which is reflected in a trader's accounts drawn up in accordance with standard accounting practice, to be taken into account when ascertaining the assessable profits of the trader under section 14 of the Inland Revenue Ordinance (Cap 112)(IRO)?

· is there a general principle of profits tax that profits derived from stock in trade are only assessable to tax under the IRO if they result from a...



This article is locked content, available to current subscribers or triallists.

  • Current subscribers or trialists - Please log in to view this article in full.
  • New users - Please take a free 7 day trial.
  • Expired subscribers or trialists - Please subscribe to gain immediate full access.

If you think you've received this message in error, please contact your account manager, Nick Burroughs:
Email: nburroughs@euromoneyplc.com, Tel: +44 (0)207 779 8379

Subscribe now

Subscribe today to gain full access to International Tax Review.

Subscribe

Free trial

Take a free trial now and gain 7 days of full access to International Tax Review.

Free trial





International Tax Review Profile

Latin America #Tax Focus 2014 now available http://t.co/X31nIyULPR Up-to-date direct and indirect tax information from around the region

Oct 2 2014 01:16 ·  reply ·  retweet ·  favourite
International Tax Review Profile

RT @ONEbrussels: ONE welcomes @pierremoscovici: #FTT should contribute to fight vs poverty & climate change overseas #EPhearings2014 http:/…

Oct 2 2014 12:29 ·  reply ·  retweet ·  favourite
International Tax Review Profile

RT @GreensEP: Again what does that mean concretely? @pierremoscovici says he wants a creative and ambitious approach on #taxation #FTT #EPh…

Oct 2 2014 12:10 ·  reply ·  retweet ·  favourite
International Tax Review Profile

RT @VotaBob: @MollyMEP By making every EU country a tax haven, making Europe a land of work & prosperity, progress & social mobility, hope …

Oct 2 2014 12:08 ·  reply ·  retweet ·  favourite
International Tax Review Profile

RT @MollyMEP: #Moscovici argues for further tax harmonisation, but how to tackle vetoes coming from countries operating as tax havens? #EPh…

Oct 2 2014 12:07 ·  reply ·  retweet ·  favourite
International Correspondents

Which possible outcome of the G20 / OECD BEPS project would carry the biggest fear for your company?