Tag Archives: China

     Forty-nine convictions were recorded in November 2023 for breaches of legislation enforced by the Environmental Protection Department.             Eleven of the conv… read more

     The Secretariat of the Green Tech Fund (GTF) said today (December 21) that a total of eight projects have been approved in the third round of applications, involving a grant of around $30 million. Together with the first and second rounds of applications, the GTF has so far approved 30 projects, involving a total grant of around $130 million.
 
     Eighty applications were received in the third round of applications from December 2022 to March 2023. The eight research and development (R&D) projects approved in this round cover research projects on promotion of new energy technology, energy saving and green building, turning waste into resources and green transport. They are:
 

• New energy technology: Development of an innovative proton exchange membrane electrolysis cell to improve the performance and cost efficiency in hydrogen production, promoting the application of hydrogen energy; development of a seawater desalination system integrating with electrolysis for hydrogen production and an innovative membrane technology to explore the feasibility of using desalinated seawater to produce hydrogen and recovering the heat generated during hydrogen production for seawater desalination; development of an intelligent energy supply station powered by ammonia to promote the development and application of low-carbon energy.


• Energy saving and green building: Development of exterior material for building with textile waste which promotes energy saving of buildings.

 

• Turning waste into resources: Utilisation of waste ashes to replace cement in deep mixing piles for land reclamation, which reduces the disposal of waste ashes and carbon emissions in land reclamation; development of an innovative fat, oil and grease (FOG) interception technology to reduce FOG from wastewater of catering services and turn the recovered FOG into energy; develop an ammonia pretreament system for food waste, to enhance the efficiency in operation of O · Park, and promote the turning of food waste into energy.

 

• Green Transport: Development of aqueous rechargeable batteries, to solve the flammability problem of traditional electric vehicle batteries, and improve the safety and lifetime of batteries for electric vehicles.

     The list of the eight approved R&D projects is given in the Annex. Relevant details are also published on the GTF webpage (www.gtf.gov.hk/en/project_information/approved_projects.html). These projects will help promote R&D as well as application of green technologies in different areas, thereby expediting the low-carbon transformation in Hong Kong to strive towards the goal of carbon neutrality.
 
     The GTF is open for the fourth round of applications from today to March 20, 2024. R&D projects that fall into four areas, namely net-zero electricity generation, energy saving and green buildings, green transport, and waste reduction, will be accorded priority. The GTF welcomes applications from local public research institutions, R&D centres and local private companies to develop low-carbon and green technologies that cater for the needs of Hong Kong’s environment and market. The GTF Secretariat will hold a webinar on January 19, 2024, to introduce the application procedures and priority themes of the GTF. Details are available on the GTF website (www.gtf.gov.hk). read more

Attention TV/radio announcers: Please broadcast the following as soon as possible:      Here is an item of interest to swimmers.      The Leisure and Cultural Services Department announced today (December 21) that… read more

     The Government today (December 21) launched a consultation exercise to gather views on the implementation details of the global minimum tax under Pillar Two of the international tax reform proposals drawn up by the Organisation for Economic Co-operation and Development (OECD) to address base erosion and profit shifting risks arising from the digitalisation of the economy (commonly known as BEPS 2.0).  

     The Secretary for Financial Services and the Treasury, Mr Christopher Hui, said, “As an international financial centre and a responsible member of the international community, Hong Kong has all along been supportive of international efforts to enhance tax transparency and combat tax evasion. To fulfil our obligation as a co-operative player in international tax co-operation and safeguard Hong Kong’s taxing rights, Hong Kong is fully committed to implementing Pillar Two of BEPS 2.0 in accordance with international consensus.”  

     The BEPS 2.0 package was promulgated by the OECD in October 2021. The goal of the global anti-base erosion (GloBE) rules under Pillar Two of the package is to ensure that large multinational enterprise (MNE) groups with consolidated annual revenue of at least 750 million euros pay a global minimum tax of at least 15 per cent on income derived by their constituent entities in every jurisdiction where they operate, thereby putting a floor on competition over corporate income tax. The implementation of the global minimum tax will reduce the latitude for jurisdictions to introduce tax exemption or extremely low preferential tax rate as a means to enhance their tax competitiveness in future, thus creating a more level playing field in terms of taxation. In 2021, Hong Kong joined more than 130 jurisdictions in committing to implementing BEPS 2.0. 

     As announced by the Financial Secretary in the 2023-24 Budget, Hong Kong will apply the global minimum effective tax rate of 15 per cent on in-scope MNE groups starting from 2025 onwards. Only in-scope large MNE groups will be subject to the global minimum tax. The vast majority of corporate taxpayers, including local small and medium enterprises, will not be affected.  

     Under the global minimum tax, if the effective tax rate of an in-scope MNE group in Hong Kong is lower than 15 per cent, other relevant jurisdictions have the right to collect top-up tax in respect of the low-taxed Hong Kong MNE entities concerned. To preserve Hong Kong’s taxing rights with respect to such entities instead of ceding them to other jurisdictions, Hong Kong will apply the Hong Kong minimum top-up tax (HKMTT) to in-scope MNE groups starting from 2025 onwards so that the effective tax rate of these entities will be brought up to 15 per cent. By introducing the HKMTT, in-scope MNE groups will be spared the need to pay top-up tax in every jurisdiction where they operate. This will help reduce their compliance burden.  

     “It would be in Hong Kong’s best interest to implement the HKMTT to fulfil Hong Kong’s international tax commitment and preserve its taxing rights,” Mr Hui said.

     Hong Kong will need to amend the Inland Revenue Ordinance (Cap. 112) to implement the global minimum tax and the HKMTT. To take forward the legislative exercise, a consultation exercise will be launched. A consultation paper has been published today to explain the concepts of the GloBE rules, which will be strictly followed by Hong Kong and other jurisdictions, and the HKMTT, and seek views on specific implementation issues. Such issues include:
 

• the Government’s proposed approach with respect to certain areas relating to the implementation of the GloBE rules;
• the design and implementation of the HKMTT; and
• the tax compliance and administration framework.  

     “In formulating the legislative proposal, the Government will strive to maintain Hong Kong’s tax competitiveness by upholding Hong Kong’s simple, certain and low tax regime. Insofar as the implementation of the global minimum tax and the HKMTT is concerned, emphasis is laid on minimising tax compliance burden of in-scope MNE groups and maintaining the simplicity of the tax regime,” Mr Hui added.

     To reduce compliance burden and enhance tax certainty, the Government has proposed business-friendly features in the overall framework of the implementation of the global minimum tax and the HKMTT. These include:
 

• aligning the design of the HKMTT, including the scope and tax rate, with that of the global minimum tax to ensure simplicity of the regime;
• allowing an in-scope MNE group to decide on how the HKMTT payable is allocated among its Hong Kong entities to provide for flexibility;
• providing for safe harbours in the framework to relieve compliance burden and enhance tax certainty; and 
• requiring an in-scope MNE group to only furnish a single top-up tax return for the purpose of both the global minimum tax and the HKMTT to minimise compliance burden.

     The consultation paper is available on the website of the Financial Services and the Treasury Bureau (www.fstb.gov.hk/tb/en/others/consultation.htm). Members of the public are welcome to send their views to the Financial Services and the Treasury Bureau by post (24/F, Central Government Offices, 2 Tim Mei Avenue, Tamar, Hong Kong) or email (beps@fstb.gov.hk). The three-month consultation will end on March 20, 2024.

     Subject to the outcome of the consultation exercise, the Government targets to introduce the legislative amendments into the Legislative Council in the second half of 2024.         read more

     Hong Kong Customs on November 21 detected a large-scale seaborne drug trafficking case and seized about 228 kilograms of suspected cannabis buds with an estimated market value of about $52 million at the Kwai Chung Customhouse Cargo Examination Compound. Three men suspected to be connected with the case were arrested.

     Through risk assessment, Customs on that day selected a seaborne container, declared as carrying tyres and arriving in Hong Kong from Canada, for inspection. Upon examination, 98 pieces of tyres were found in the container and 73 of them concealed a total of about 228kg of suspected cannabis buds. The batch of dangerous drugs was packed in plastic bags and concealed inside the hollow space of the tyres.

     Upon a follow-up investigation, Customs officers conducted controlled delivery operations and arrested a 65-year-old man and a 58-year-old man, who claimed to be a driver and a company owner respectively, on November 21. On December 6, Customs further arrested a 47-year-old male driver receiving the drugs.  

     The three arrested men have been released on bail pending further investigation. 

     An investigation is ongoing.

     Customs reminds members of the public to stay alert and not to participate in drug trafficking activities for monetary return. They must not accept hiring or delegation from another party to carry controlled items in and out of Hong Kong. They are also reminded not to carry unknown items for other people, nor to release their personal data or home address to others for receiving parcels or goods.

     Under the Dangerous Drugs Ordinance, trafficking in a dangerous drug is a serious offence. The maximum penalty upon conviction is a fine of $5 million and life imprisonment.
     â€‹
     Members of the public may report any suspected drug trafficking activities to Customs’ 24-hour hotline 2545 6182 or its dedicated crime reporting email account (crimereport@customs.gov.hk) or online form (eform.cefs.gov.hk/form/ced002).

read more