|Programme Code :||20190506|
|Event Date :||6 May 2019 (Monday)|
|Time :||6 : 45 pm - 8 : 45 pm (6 : 15 pm registration)|
|Venue :||Room UT, SCOPE, 8/F, United Centre, 95 Queensway, Admiralty, Hong Kong||View google map|
|Speakers :||Mr Philip Hung and Mr Felix Tsang|
|CPD Credit :||2 hrs|
|Proficiency Level :||Intermediate Level|
HK $ 250 for TIHK member / student
HK $ 350 for Non-member
HK $ 300 for members of organizations of CPD Alliance
Charitable organisations have recently been under the media’s spotlight, which has led to attention from the public and Government departments, including the Inland Revenue Department (“IRD”) which administer the tax exemption status of charities. The IRD has recently stepped up its effort in reviewing charitable organisations. Sensitive issues such as payments to directors, transactions with related parties, nature of businesses carried out and whether such businesses comply with the stated charitable objectives, etc are under close scrutiny. Charitable organisations should also be aware that their tax exemption status does not preclude the IRD from reviewing the tax position of income generated from specific activities, and any dispute in this regard may also result in litigation, such as the Sheng Kung Hui case in the Court of Final Appeal in 2016.
The IRD has also been taking actions such as issuing tax returns to charitable organisations reviewing their tax positions. With the upcoming time bar for the year of assessment 2012/13, protective assessments may also be issued to these organisations before the end of March 2019.
In the above context, charitable organisations should handle the IRD’s reviews with extra care. In this seminar, we shall share our experience in handling the IRD’s reviews on charities, including:
1. Legislation and common law principles governing the granting and continuation of tax exemption for charities;
2. Are all income derived by charitable organisations exempted from tax?
3. Common areas of dispute between the IRD and charitable organisations;
4. How to handle and resolve the IRD’s tax audits on charitable organisations; and
5. Tax tips on the governance of charitable organisations.
Philip has over 30 years' experience in Hong Kong taxation with six years in IRD. He is a well-known expert in the tax field and investigation specialty. After he left the IRD, Philip concentrated in assisting clients in handling tax investigation and field audit cases. He is the first to set up a specialized team to handle the IRD’s tax investigation and field audit cases for clients in the industry. His clients include charitable institutions, fund managers, SME, listed companies and various MNC. He assisted in handling complicated cases such as the IRD’s review on major charitable institutions, worldwide onshore/offshore claim, disputes on contracting processing and import processing arrangements, offshore claim for Macao Offshore Company, IRD prosecution case and transfer pricing manipulation.
2. Mr Felix Tsang, Senior Manager, Tax Controversy Services, PwC
Felix has over 15 years of experience in handling tax audits and in tax dispute resolution for multinational corporations, local SMEs as well as charitable institutions. In particular, he assisted in resolving tax audit cases conducted by the IRD on major charitable institutions and its related parties. Other cases he handled involved a diverse range of issues such as cross-border transactions, offshore claims, anti-avoidance and charities’ tax exemption status review. Felix also has extensive experience on tax advisory projects including application for tax exemption for charitable organisations, tax health check, defence file building and post-audit restructuring.