The Government today launched a two-month public consultation on a proposal to apply, with adaptations for Hong Kong, the prevailing international standards on the automatic exchange of financial account information in tax matters (AEOI).
Under the Organisation for Economic Co-operation & Development standard promulgated last July, financial institutions such as banks, insurance companies and brokers are required to identify and keep information on their non-Hong Kong tax resident account holders in accordance with the due diligence procedures prescribed and report the information to the Inland Revenue Department. The department will pass the information to AEOI partners on an annual basis.
The Government has drawn up proposals to apply AEOI requirements to Hong Kong through legislation.
Secretary for Financial Services & the Treasury Prof KC Chan said he plans to table an amendment bill at the Legislative Council early next year to start the first information exchanges by the end of 2018.
The Financial Services & the Treasury Bureau has been engaging stakeholders in the financial industry in recent months to gauge their initial views on how AEOI should be implemented.
The consultation paper is available on the bureau's website.
Views can be sent by fax (2179 5848) or mail by June 30.
