HK gazettes orders on avoidance of double taxation

Hong Kong gazetted on Friday two orders that implement the agreements with Malaysia and Mexico for the avoidance of double taxation.

"The Comprehensive Agreements for the Avoidance of Double Taxation (CDTAs) ensure that investors will not have to pay tax twice on a single source of income," a spokesman for the Hong Kong government said.

"In simple terms, the CDTAs will bring tax savings and a higher degree of certainty on taxation liabilities for investors from the respective places when they engage in trade and investment activities with Hong Kong," he said.

The orders will be tabled at the city's Legislative Council on Oct. 24 for negative vetting. The CDTAs will only take effect after both Hong Kong and the treaty partners have completed their ratification procedures.

Hong Kong signed the CDTAs with Malaysia on April 25 and Mexico on June 18.