Unformatted text preview: NOT $11,000 e ach year He will receive the retirement benefit tax-free if the retirement fund is a recognized one. To be a recognized retirement plan, the ER's contribution percentage cannot > 15% and EE can receive the total retirement benefit only if EE is (1) death, (2) i ncapacity, (3) retirement from employment at specific age . Or (4) permanent department from Hong Kong If the EE leave the company within 10 years (120 months) only proportionate benefit (PB) is tax-free The retirement plan will be submitted to IRD for approval and if approved, it is a r ecognized retirement plan . For Mandatory Provident Fund ( MPF ) , the tax treatment is similar to recognized retirement Plan . Except that EE will have a tax free P Fund contribution of $12,000 per year....
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This note was uploaded on 09/29/2011 for the course ACCT 3161 taught by Professor Kwong during the Spring '11 term at CUHK.
- Spring '11