fbpx

Taxation related to partnership business

The business model of two or more taxpayers is a partnership business, but the number of partners in the partnership business cannot exceed 20. The Inland Revenue Department will calculate the tax on the assessable profits of the partnership business and collect the tax in the name of the partnership. The profit of the partnership business must be apportioned according to the proportion of each partner, and the salary of each partner, the interest derived from the loan to the partnership business or the capital invested must also be included in the profit apportioned. If one of the partners results in a loss, the loss must be shared again according to the proportion of the remaining profitable partners. If the chief partner of the partnership business (that is, the partner listed first in the agreement or on the business registration form) is not responsible for tax filing and payment, the other partners must also file and pay taxes on his behalf. In terms of taxation, the Inland Revenue Department will issue a partnership notice to show the chief partner, unless that person can prove that another person residing in Hong Kong is the chief partner, otherwise, he cannot evade tax liability.

The above information is for reference only. If in doubt, we welcome your tax inquiries

Leave a Comment

open chat
你好, 歡迎來到我們Mexus會計的網站, 如需會計及報稅的資訊, 我們會立即找專員聯絡你!

如想搜索免費的報稅資訊, 可看以下的連線:

https://mexus.com.hk/zh/報稅問與答-最熱門-不停更新/

如想搜索免費的成立公司資訊, 可看以下的連線:

https://mexus.com.hk/zh/服務提供/商業諮詢服務/成立公司秘笈-零蚊開公司的秘密/

感謝你的到訪, 希望有一天能為你服務