Korea-Hong Kong Tax Treaty


Agreement on Korea-Hong Kong Tax Treaty


The Ministry of Strategy and Finance had meetings to conclude the Korea-Hong Kong Tax Treaty during September 11th - 13th in Hong Kong and agreed and signed a provisional Korea-Hong Kong Tax Treaty. 


The main contents of the agreement of the Tax Treaty are as follows.

■ Exchange of taxation information

The government of Korea and Hong Kong agreed to exchange taxation information for a suspected tax evader of respective country. Especially, the taxation information covers information that financial institutions hold and past information that each government holds.

■ Reduced withholding tax rates

Dividends: 10% [ 15% if the ownership ratio is less than 25%]

   Interests: 10%

   Royalties: 10%

The foregoing Tax Treaty will become effective after the formal agreement of both countries and ratification of the National Assembly