Advance Ruling Cases Rulings are published for general reference only. Caution should be exercised in relying upon the rulings. Reference can only be made to a ruling if the facts are identical to the proposed transactions. To that end it should be borne in mind that similar transactions often have different facts. If there are any doubts as to the similarity of the proposed transactions the taxpayer should request a ruling. Caution should also be exercised to ensure that the relevant provisions of the Ordinance or the relevant case law interpretation and practice of those provisions have not changed as the Inland Revenue Department is bound to apply the current taxation law. Similarly, a ruling may no longer be appropriate if an administrative practice outlined therein turns out to be used as a tax avoidance device. In order to protect taxpayer confidentiality, the Department will edit the selected rulings prior to publication. Accordingly, all information that may enable identification of the taxpayer will be removed from the edited version. The Department will not update the rulings published on the website to reflect any subsequent changes of the tax law.

Case No.	Provision of the I.R.O. in respect of which ruling applies	Index
1	sections 19C and 61B	Change in shareholding Treatment of losses Utilization of losses to avoid tax
2	section 18E	Change of accounting date Entities commencing business on or after 1 April 1974
3	section 18E	Change of accounting date Entities commencing business before 1 April 1974
4	section 14	Source of profits – trading
5	sections 14 and 61A	Sale of business Capital or revenue receipts Applicability of section 61A
6	sections 16 and 22(3)	Deductibility of certain expenses Assessment of partnership
7	sections 19C and 61A	Business restructuring Treatment of losses Applicability of section 61A
8	section 14	Source of profits – trading
9	sections 14, 16 and 23(1)(a)	A life insurance corporation Whether sum received is "premium from life insurance premium" Deductibility of certain expenses Ascertainment of assessable profits
10	section 14	Source of profits – trading Profits not eligible for apportionment
11	section 14	Source of profits – trading
12	section 14	Source of profits – trading
13	section 14	Whether the non-resident person carried on business in Hong Kong through an agent Source of profits – trading
14	section 20(2)	Tax liability of certain non-resident person
15	section 19C(4)	Treatment of losses upon merger
16	section 14	Whether the non-resident person carried on business in Hong Kong through an agent Source of profits – service income
17	section 18E	Change of accounting date Entities commencing business on or after 1 April 1974
18	section 18E	Change of accounting date Entities commencing business on or after 1 April 1974 and entities commencing business before 1 April 1974
19	section 14	Source of profits – manufacturing Apportionment of profits on 50:50 basis
20	section 18E	Change of accounting date Entities commencing business on or after 1 April 1974
21	section 14	Source of profits – trading
22	sections 8 and 9(1)	Employee's share-based benefits
23	section 14	Source of profits – service income
24	section 18E	Change of accounting date Entities commencing business on or after 1 April 1974
25	sections 8 and 9	Severance payment received by employee Employer's obligations
26	section 14	Whether carrying on a trade, profession or business in Hong Kong Source of profits – service income
27	section 20(2)	Tax liability of certain non-resident person
28	sections 14(1), 16(1), 16(1)(ga), 16F(1), 16G(1), 18F(1), 33A(1), 34(1), 34(2), 39B(1) and 39B(2)	Contracts deemed as leases under HKAS17 and HKFRS-Int 4
29	section 18E	Change of accounting date Entities commencing business on or after 1 April 1974 and entities commencing business before 1 April 1974 Applicability of section 61A
30	section 14	Source of profits – service income
31	sections 23B(3) and 23B(12)	Chargeability of charter hire income
32	sections 9(1) and 52	Employee's share-based benefits Employer's obligations
33	sections 8, 9 and 16(1)	Employee's share-based benefits Deductibility of contribution by employer
34	section 14	Source of profits – trading
35	section 14	Source of profits – trading
36	section 14	Source of profits – service income
37	section 14	Source of profits – trading
38	section 18E	Change of accounting date Entities commencing business on or after 1 April 1974 and entities commencing business before 1 April 1974 Applicability of section 61A
39	section 18E	Change of accounting date Entities commencing business on or after 1 April 1974
40	section 14	Source of profits – trading
41	section 18E	Change of accounting date Entities commencing business on or after 1 April 1974
42	section 18E	Change of accounting date Entities commencing business before 1 April 1974
43	section 14	Source of profits – trading
44	sections 14 and 20(2)	Whether carrying on a trade, profession or business in Hong Kong Tax liability of certain non-resident person
45	section 14	Source of profits – service income
46	section 14	Source of profits – service income
47	sections 14(1), 15(1)(c), 15(2), 61 and 61A	Whether profits from business Whether deemed trading receipts Applicability of sections 61 and 61A
48	sections 14 and 16	Source of profits – trading Deductibility of associated expenses
49	section 18E	Change of accounting date Entities commencing business on or after 1 April 1974
50	sections 14 and 15(1)(f)	Source of interest income
51	section 18E	Change of accounting date Entities commencing business on or after 1 April 1974 and entities commencing business before 1 April 1974 Applicability of section 61A