Hong Kong Tax Alert - Issue 17, July 2014
The Inland Revenue Department (IRD) has issued Departmental Interpretation and Practice Note No. 50 (“the DIPN”) on the Taxation of Specified Alternative Bond Schemes. The DIPN gives the IRD’s views on the correct interpretation of the legislation introduced last year to allow for greater tax parity between conventional and Islamic bond arrangements. This document analyses the DIPN and its consequences for taxpayers.