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Unformatted text preview: fferent Periods, e.g. in a year
Period A [3 months]: Partners X and Y
Period B [5 months]: Partners X; Y and Z
Period C [4 months]: Partners Y and Z
1. Profits for the year split into 3 periods;
2. Profit for each period allocated to the partners of that period;
3. Sum up the profits entitled by each partner Unit 8 Partnership
Unit Tax Liability When a partner has elected personal assessment,
his share of profits will not be taxed under profits
tax The partners are jointly and severally liable to the
profits tax outstanding, except in a limited
partnership IRD is entitled to recover the outstanding profits
tax from any partner in a partnership [s.22(4) &
s.56A Unit 8 Insurance Company
Unit Assessing Insurance Corporations Expenditures are contingent with uncertainty Life insurance corporations – s.23 Other than life insurance corporations – s.23A Mutual insurance corporation – s.23AA
[Note: an insurance company can have business in Life Insurance and Nonlife Insurance at the same time. Each will be assessed separately.] Unit 8 Insurance Company Unit Assessable Profit of HK Life Insurance Corporations under s.23 is 5% of ‘HK Premium’ OR ‘Adjusted Surplus’ plus following adjustments + ‘Deficit of previous period’ [ or Surplus of previous period] + Disallowable expenses per s.16 & s.17 + Profits not credited to life insurance fund + Appropriation of profit + Balancing Charge Dividends exempted under s.26(a) Unit 8 Insurance Company
Unit HK Premium includes Premium received in HK from HK residents or nonHK residents; & Premium received overseas from HK residents (proposal made previously in HK) ‘Adjusted surplus’ is where life insurance fund > estimated liability Unit 8 Insurance Company
Unit Assessment of life insurance company in HK is Normally at 5% on premium first; or Elect alternate method with no time limit Based on latest actuarial report [s23(2)].; to be submitted no later than 2 years from end...
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This document was uploaded on 03/18/2014.
- Spring '14