On Aug. 7, HKMA issued circular re revising tax reporting jurisdictions.
HKMA informed of a legislative exercise that seeks to amend the list of participating jurisdictions and expand the list of reportable jurisdictions under Inland revenue ordinance (IRO) for automatic exchange of financial account information (AEOI).
Follows HK Tax Apr. 2024 and HK Treasury planned exchanging data re tax, #210380.
Overview of Circular
The amendment seeks to remove nine jurisdictions that have not activated exchange relationships for AEOI with Hong Kong, add 11 jurisdictions that have already done so.
Also expands HK’s AEOI network by including three jurisdictions which have indicated a wish to activate exchange relationships for AEOI in reportable jurisdictions lists.
Financial institutions (FIs) are expected to commence data collection for tax residents of the additional 3 jurisdictions starting from Jan. 1, 2025, first submission in 2026.
Authorized institutions (AIs) should review the amendment to the list of participating jurisdictions and expansion of the list of reportable jurisdictions, ensure compliance.
Covers requirements of customer communications in relation to AEOI arrangement.
Effectiveness
The expected commencement date of the legislative amendments is Jan. 1, 2025
