Guide to Doing Business in Hong Kong
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Hong Kong's Role in China's Financial Reform
The LEXIS PRACTICE ADVISOR Journal TM WINTER 2015 / 2016 www.lexispracticeadvisor.com Start your free trial today 300+ 11 900+ LEXISNEXIS.COM/FINISH-BIG OR CALL 800.628.3612 ATTORNEY PRACTICE SEARCHABLE AUTHORS AREAS DEAL POINTS Contents WINTER 2015 / 2016 PRACTICE NEWS PRACTICE PROJECTIONS 4 A BRIEFING ON EMERGING ISSUES 35 DUE DILIGENCE IN LIFE SCIENCES IMPACTING TRANSACTIONAL PRACTICE MERGERS & ACQUISITIONS Business & Commercial, Banking & Finance, Labor & Mergers & Acquisitions Employment, Securities & Capital Markets, Real Estate 46 “REGULATION A-PLUS” LIMITED PUBLIC PRACTICE NOTES OFFERINGS UNDER SECURITIES ACT 10 UNDERSTANDING THE NLRB’S SECTION 3(B)(2) POSITIONS ON REGULATING Securities & Capital Markets EMPLOYEES’ SOCIAL MEDIA USAGE Labor & Employment 52 FDA RELEASES FIRST TWO RULES UNDER THE FOOD SAFETY MODERNIZATION ACT 18 CONFIDENTIALITY, NONDISCLOSURE Business & Commercial & SECRECY AGREEMENTS IP & Technology PRACTICE POINTERS 56 DRAFTING AND NEGOTIATING EFFECTIVE PRACTICE TRENDS CLOUD COMPUTING AGREEMENTS 24 CHALLENGES OF TAXING IP & Technology THE SHARING ECONOMY Tax 66 DRAFTING ADVICE: DEVELOPING SOCIAL MEDIA POLICIES 28 CARSHARING GETS EASY Labor & Employment REGULATORY RIDE Business & Commercial JURISDICTIONAL PRACTICE 69 MANAGERS, AGENTS & ATTORNEYS PRACTICE PROFILE California Business & Commercial 31 A VIEW OF ASSET-BASED LENDING GLOBAL PRACTICE WITH DAVID W. MORSE, BANKING & FINANCE CHAIR, OTTERBOURG PC 75 HONG KONG’S ROLE IN CHINA’S FINANCIAL Banking & Finance REFORM - THE ERA OF THE “NEW NORMAL” Banking & Finance -
Economy Profile Hong Kong SAR, China
Doing Business 2020 Hong Kong SAR, China Economy Profile Hong Kong SAR, China Page 1 Doing Business 2020 Hong Kong SAR, China Economy Profile of Hong Kong SAR, China Doing Business 2020 Indicators (in order of appearance in the document) Starting a business Procedures, time, cost and paid-in minimum capital to start a limited liability company Dealing with construction permits Procedures, time and cost to complete all formalities to build a warehouse and the quality control and safety mechanisms in the construction permitting system Getting electricity Procedures, time and cost to get connected to the electrical grid, and the reliability of the electricity supply and the transparency of tariffs Registering property Procedures, time and cost to transfer a property and the quality of the land administration system Getting credit Movable collateral laws and credit information systems Protecting minority investors Minority shareholders’ rights in related-party transactions and in corporate governance Paying taxes Payments, time, total tax and contribution rate for a firm to comply with all tax regulations as well as postfiling processes Trading across borders Time and cost to export the product of comparative advantage and import auto parts Enforcing contracts Time and cost to resolve a commercial dispute and the quality of judicial processes Resolving insolvency Time, cost, outcome and recovery rate for a commercial insolvency and the strength of the legal framework for insolvency Employing workers Flexibility in employment regulation and redundancy cost Page 2 Doing Business 2020 Hong Kong SAR, China About Doing Business The Doing Business project provides objective measures of business regulations and their enforcement across 190 economies and selected cities at the subnational and regional level. -
Addendum General Information1
ADDENDUM GENERAL INFORMATION1 TABLE OF CONTENTS Pennsylvania ......................................................... A-43 Addendum – General Information ......................... A-1 Puerto Rico ........................................................... A-44 United States ......................................................... A-2 Rhode Island ......................................................... A-45 Alabama ................................................................. A-2 South Carolina ...................................................... A-45 Alaska ..................................................................... A-2 South Dakota ........................................................ A-46 Arizona ................................................................... A-3 Tennessee ............................................................. A-47 Arkansas ................................................................. A-5 Texas ..................................................................... A-47 California ................................................................ A-6 Utah ...................................................................... A-48 Colorado ................................................................. A-8 Vermont................................................................ A-49 Connecticut ............................................................ A-9 Virginia ................................................................. A-50 Delaware ............................................................. -
INLAND REVENUE BOARD of REVIEW DECISIONS Case No. D5
INLAND REVENUE BOARD OF REVIEW DECISIONS Case No. D5/93 Salaries tax – whether certain travel and entertainment expenses could be deducted from the assessable income of the taxpayer. Panel: William Turnbull (chairman), Philip Fu Yuen Ko and Richard Lee. Date of hearing: 3 March 1993. Date of decision: 27 April 1993. The taxpayer was employed as an assistant sales manager and claimed as a deduction from his assessable income certain expenses being entertainment and travelling. In support of his claim he provided certain vouchers issued by various restaurants on which he had written the names of customers and a schedule of travelling expenses. The employer of the taxpayer paid to the taxpayer a travelling allowance which the taxpayer claimed should not be subject to salaries tax. Held: The entire travel allowance was subject to assessment to tax. The taxpayer could claim a deduction of the actual amount of the travel expenses which he had incurred. With regard to the entertainment expenses the Board was not satisfied that the taxpayer had incurred the entertainment expenses and noted that he had not claimed reimbursement of the same from his employer even though he was entitled so to do. Appeal dismissed. Cases referred to: D17/93, IRBRD, vol 1, 113 CIR v Humphrey 1 HKTC 451 Lomax v Newton 34 TC 558 D36/90, IRBRD, vol 5, 295 May Chan for the Commissioner of Inland Revenue. Taxpayer in person. Decision: INLAND REVENUE BOARD OF REVIEW DECISIONS This is an appeal by a salaries taxpayer against a determination of the Deputy Commissioner for Inland Revenue which refused to allow the Taxpayer to deduct certain travel and entertainment expenses from his assessable income. -
Appendix I Tax Summary
Appendix I Tax Summary ppendix I provides a summary of the tax system Each tax is described in terms of the relevant leg- a jp—4as of July 1, 1997. The tables start with a de- islative act, the definition of the tax base, the main scription of taxes levied by the central government exemptions and deductions that are applicable and followed by taxes levied by local governments. the tax rates. 71 Tax Summary as of July I, 1997 Tax Base Exemptions and Deductions Rates A. Central Government 1. Taxes on income and profits I.I Taxes on corporations Law No. 157/1981 amended by Law An annual tax on accrued net taxable Deductions allowed cover all business Profits above LE 18,000 a year (subject to No. 187/1993. profits earned in Egypt by both foreign expenses, including actual rent or the above deductions, exemptions, and so and domestic corporations (including estimated rental value of premises, wage forth) are taxed as follows: limited partnerships, joint stock and bonuses to be statutorily granted to companies, and public sector enterprises) workers, social security contributions on Industrial and export engaged in manufacturing, commerce, their behalf, savings fund and pension profits 32 percent banking, mining, real estate brokerage, fund contributions (up to 20 percent of Profits from oil exploration commercial leasing activities, and so the wage bill), inventory costs, interest, production 40.55 percent forth. Tax year is calendar year unless royalties, remunerations to Board of Other profits 40 percent stated otherwise in company's articles. Directors and allowances to major shareholders to attend general meetings, In addition, a development duty of Taxable profits include: subscriptions to governments, 2 percent is applied to all profits above contributions to charitable and social LE 18,000 annually. -
Hong Kong in the Global Economy: How the Special Administrative Region Rises to the Challenges Posed by China
Asia Programme Paper: ASP PP 2010/05 Programme Paper Hong Kong in the Global Economy: How the Special Administrative Region Rises to the Challenges Posed by China Kerry Brown Senior Research Fellow, Asia Programme, Chatham House Sophie Steel Research Assistant October 2010 The views expressed in this document are the sole responsibility of the author(s) and do not necessarily reflect the view of Chatham House, its staff, associates or Council. Chatham House is independent and owes no allegiance to any government or to any political body. It does not take institutional positions on policy issues. This document is issued on the understanding that if any extract is used, the authors and Chatham House should be credited, preferably with the date of the publication. Programme Paper: Hong Kong in the Global Economy SUMMARY • The Hong Kong Special Administrative Region (SAR) has quickly bounced back from the effects of the global economic recession in 2008/09. Economic indicators for the first half of 2010 are strong and attention is turning to the medium- to long-term outlook and Hong Kong’s position in the region. • The SAR’s links with the Mainland economy are still special, though they are evolving and changing. While previously Hong Kong has been seen as the gateway into China, in the future it is also increasingly likely to be the gateway out of the People’s Republic of China (PRC). It now needs to focus on how it can best exploit this for its international positioning as others become interested in directly attracting PRC funds and investment. -
Business Cycles in a Small Open Economy Model: the Case of Hong Kong.∗
Business cycles in a small open economy model: The case of Hong Kong.∗ Paulina Etxeberria Garaigortay Amaia Izaz The University of the Basque Country. January, 2011 Abstract This paper analyzes the business cycle properties of the Hong Kong economy du- ring the 1982-2004 period, which includes the financial crisis experienced in Hong Kong in 1997-98. We show that output, output growth rate and real interest rates volatilities in Hong Kong are higher than their respective average volatilities among developed economies. In this paper, we build a stochastic neoclassical small open economy model that seeks to replicate the main business cycle characteristics of Hong Kong, and through which we try to quantify the role played by exogenous Total Factor Productivity and real interest rates shocks. The main finding is that, in order to ex- plain the Hong Kong business cycle characteristics, the trend volatility has to be higher than the volatility of the transitory fluctuations around the trend, and that the coun- try risk spread is the responsible for both the high variability and its countercyclicality. Keywords: Asian Financial Crisis, Small Open Economy, Neoclassical model. JEL Classification: E13, E32, F41. ∗We thank Cruz Angel´ Echevarr´ıa for useful comments. This paper was presented at the All China Economics (ACE) International Conference, Hong Kong, 2006, XXXIII Symposium of Economic Analysis, Spain, 2007, DEGIT XVI Dynamics, Economic Growth and International Trade, Los Angeles, USA, 2009. Financial support from Universidad del Pa´ısVasco MACLAB, project IT-241-07, and Ministerio de Ciencia e Innovaci´on,project ECO2009-09732 are gratefully acknowledged. Any remaining errors are the authors' responsibility. -
The Transition from British to Chinese Rule in Hong Kong: a Discussion of Salient International Legal Issues
Denver Journal of International Law & Policy Volume 14 Number 2 Winter/Spring Article 4 May 2020 The Transition from British to Chinese Rule in Hong Kong: A Discussion of Salient International Legal Issues Roda Mushkat Follow this and additional works at: https://digitalcommons.du.edu/djilp Recommended Citation Roda Mushkat, The Transition from British to Chinese Rule in Hong Kong: A Discussion of Salient International Legal Issues, 14 Denv. J. Int'l L. & Pol'y 171 (1986). This Article is brought to you for free and open access by the University of Denver Sturm College of Law at Digital Commons @ DU. It has been accepted for inclusion in Denver Journal of International Law & Policy by an authorized editor of Digital Commons @ DU. For more information, please contact [email protected],dig- [email protected]. The Transition from British to Chinese Rule in Hong Kong: A Discussion of Salient International Legal Issues RODA MUSHKAT* I. INTRODUCTION Hong Kong has been a British colony since 1841 and as such has pursued a markedly different economic, legal, political and social path from that of China. While China has embraced communist ideology and practice, often in an extreme form, Hong Kong has unwaveringly main- tained its capitalist orientation and has remained an integral part of the Western world. The bulk of the colony's population has always been Chi- nese and its cultural roots lie deeply in Chinese soil. In most other re- spects, however, the two systems are almost completely at variance with each other. Despite the structural differences between Hong Kong and China, Hong Kong will shed its colonial status in 1997 and come under de facto Chinese sovereignty. -
Hong Kong SAR
Hong Kong SAR 104 Doing Business in Asia Pacific SEPTEMBER 2020 Chapter 1: Introduction 108 Chapter 2: Business environment 110 2.1 Hong Kong’s free economy 110 2.2 Gateway to mainland China 111 2.3 International outlook 112 2.4 Well-established legal and financial infrastructures 112 2.5 Favourable tax regime 113 Chapter 3: Business and corporate structures 114 3.1 Limited company 114 3.2 Unincorporated businesses 116 3.3 Forms of business collaboration 116 Chapter 4: Takeovers (friendly M&A) 117 4.1 Introduction 117 4.2 Hong Kong company law 118 4.3 Other common legal issues 118 4.4 Typical documentation 119 4.5 Due diligence 120 4.6 Sale and purchase agreement 120 Chapter 5: Foreign investment 122 5.1 Overview of Hong Kong’s business and investment environment 122 5.2 Restrictions on foreign investment 123 Chapter 6: Restructuring and insolvency 124 6.1 Legal framework 124 6.2 Liquidation 124 6.3 Restructuring 125 6.4 International insolvency 126 Doing Business in Asia Pacific SEPTEMBER 2020 105 Chapter 7: Employment, industrial relations, and work health and safety 127 7.1 Basic employment rights 127 7.2 Employment contract 128 7.3 Expatriates 129 7.4 Termination 129 7.5 Work health and safety 130 Chapter 8: Taxation 131 8.1 Outline 131 8.2 Profits tax 131 8.3 Salaries tax 133 8.4 Property tax 134 8.5 Stamp duty 134 8.6 Tax disputes 135 8.7 Anti-avoidance 135 Chapter 9: Intellectual property 135 9.1 Trademarks 136 9.2 Copyright 136 9.3 Registered designs 137 9.4 Patents 137 9.5 Confidential information 138 9.6 Private information 138 -
Economic Integration Between Hong Kong, Taiwan and The
OECD Economic Studies No . 20. Spring 1993 ECONOMIC INTEGRATION BETWEEN HONG KONG. TAIWAN AND THE COASTAL PROVINCES OF CHINA Randall S. Jones. Robert E . King and Michael Klein CONTENTS Introduction ...................................................... 116 1. Economic integration within the CEA ............................. 118 A . Trade .................................................. 118 B. Foreign direct investment ................................... 123 C . Other linkages ........................................... 127 D. Impact of integration within the CEA .......................... 128 II . Forces driving integration ...................................... 130 A . Resource endowments ...................................... 130 B . Revealed comparative advantage ............................ 133 C . The role of policies ........................................ 134 D . Political ties ............................................. 137 E . Rapid growth despite policy distortions ......................... 138 Ill. Outlook .................................................... 139 Bibliography .................................................... 1.43 Randall S . Jones and Robert E. King are economists in the Foreign Trade and Investment Division of the Economics Department. Michael Klein. who was formerly employed in the same division. now works at the World Bank . The authors would like to thank Sveinbjorn Blondal. Michael P . Feiner. Nicholas Vanston and Bernard Wacquez for their comments and suggestions. 115 INTRODUCTION During the past -
Urban Forms and the Politics of Property in Colonial Hong Kong By
Speculative Modern: Urban Forms and the Politics of Property in Colonial Hong Kong by Cecilia Louise Chu A dissertation submitted in partial satisfaction of the requirements for the degree of Doctor of Philosophy in Architecture in the Graduate Division of the University of California, Berkeley Committee in charge: Professor Nezar AlSayyad, Chair Professor C. Greig Crysler Professor Eugene F. Irschick Spring 2012 Speculative Modern: Urban Forms and the Politics of Property in Colonial Hong Kong Copyright 2012 by Cecilia Louise Chu 1 Abstract Speculative Modern: Urban Forms and the Politics of Property in Colonial Hong Kong Cecilia Louise Chu Doctor of Philosophy in Architecture University of California, Berkeley Professor Nezar AlSayyad, Chair This dissertation traces the genealogy of property development and emergence of an urban milieu in Hong Kong between the 1870s and mid 1930s. This is a period that saw the transition of colonial rule from one that relied heavily on coercion to one that was increasingly “civil,” in the sense that a growing number of native Chinese came to willingly abide by, if not whole-heartedly accept, the rules and regulations of the colonial state whilst becoming more assertive in exercising their rights under the rule of law. Long hailed for its laissez-faire credentials and market freedom, Hong Kong offers a unique context to study what I call “speculative urbanism,” wherein the colonial government’s heavy reliance on generating revenue from private property supported a lucrative housing market that enriched a large number of native property owners. Although resenting the discrimination they encountered in the colonial territory, they were able to accumulate economic and social capital by working within and around the colonial regulatory system. -
Hong Kong's Civil Disobedience Under China's Authoritarianism
Emory International Law Review Volume 35 Issue 1 2021 Hong Kong's Civil Disobedience Under China's Authoritarianism Shucheng Wang Follow this and additional works at: https://scholarlycommons.law.emory.edu/eilr Recommended Citation Shucheng Wang, Hong Kong's Civil Disobedience Under China's Authoritarianism, 35 Emory Int'l L. Rev. 21 (2021). Available at: https://scholarlycommons.law.emory.edu/eilr/vol35/iss1/2 This Article is brought to you for free and open access by the Journals at Emory Law Scholarly Commons. It has been accepted for inclusion in Emory International Law Review by an authorized editor of Emory Law Scholarly Commons. For more information, please contact [email protected]. WANG_2.9.21 2/10/2021 1:03 PM HONG KONG’S CIVIL DISOBEDIENCE UNDER CHINA’S AUTHORITARIANISM Shucheng Wang∗ ABSTRACT Acts of civil disobedience have significantly impacted Hong Kong’s liberal constitutional order, existing as it does under China’s authoritarian governance. Existing theories of civil disobedience have primarily paid attention to the situations of liberal democracies but find it difficult to explain the unique case of the semi-democracy of Hong Kong. Based on a descriptive analysis of the practice of civil disobedience in Hong Kong, taking the Occupy Central Movement (OCM) of 2014 and the Anti-Extradition Law Amendment Bill (Anti-ELAB) movement of 2019 as examples, this Article explores the extent to which and how civil disobedience can be justified in Hong Kong’s rule of law- based order under China’s authoritarian system, and further aims to develop a conditional theory of civil disobedience for Hong Kong that goes beyond traditional liberal accounts.