CRS (common reporting standards) was adopted in 2014 by OECD members at the Convention on Mutual Administrative Assistance in Tax Matters. The prior system information Upon Request proved highly ineffective in deterring tax evasion. In particular, CRS provides a framework for exchanging information on tax matters based on the provided schedule. Read More
To expand your operations into Asia and grow rapidly, one of the best methods is using a holding company. Because it is a separate entity from the mother company, it acts as a shield in case of risks such as bankruptcy. Once you have decided to use a holding company to expand operations offshore, it is prudent to select the right country or region.
When Hong Kong committed to implementing CRS by 2018, it indicated that a legal framework would be required to guide the entire process of sharing account information for foreigners. In June 2016, this law was put in place, and it outlines the guidance for CRS implementation in Hong Kong. The guidance provided by the IRD under the new law provides a clear outline on how to identify the reportable accounts, information to gather, and how to report it. Read More
When you decide to venture offshore, some of the key factors that drive the move include seeking stronger banking systems and stable political systems. Beside, many systems abroad provide lower tax rates and straight forward tax systems that allow investors to keep bulk of the interests, profits, and royalties. Read More