Korchina TNC https://korchinatnc.com/sg <![CDATA[2020 Urging Washington and Taipei to Sign BTA]]> Urging Washington and Taipei to Sign BTA   Lotta Danielsson, vice chairman of the Business Council of Taiwan’s non-profit organization in the United States, urged Washington and Taipei to sign a bilateral trade agreement (BTA) after Taiwan announced its decision to lift the limitation on the pork and beef imported from U.S. Despite of opposition from opposition politicians and local farmers, Taiwanese government has eliminated the main obstacle and made closer trading with the United States. She said Washington should deepen economic cooperation between the 2 countries. Members of the US House of Representatives are increasingly supporting the BTA with Taiwan and the "Taipei Act" passed by Congress has also encouraged business with Taiwan, emphasized by Danielsson. She mentioned that BTA can benefit the United States by allowing Taiwan to play a more important role in Indo-Pacific region. Taiwan’s semiconductor industry is vital to the global technology supply chain and can help American technology companies having new business opportunities. At the same time, Danielsson pointed out that if Taiwan fails to establish deeper relations with other countries, it may be forced to establish economic partnerships with China. She pointed out that China's increased influence in the Taiwan market may harm the interests of the United States. Therefore, the BTA signed with Washington will reduce the country's economic dependence on China.]]> Wed, 09 Sep 2020 19:26:09 +0000 <![CDATA[Patent Application Grant ("PAG")]]> Patent Application Grant ("PAG")   To assist local companies and individuals to apply for patents of their own inventions. The grant can be used in applying for patents in or outside Hong Kong.   Target applicant First-time patent seekers who would like to apply for functional patents and inventions with technology element and susceptible of industrial application, excluded Cosmetic designs The implementation agent - the Hong Kong Productivity Council (HKPC) will first conduct a patent search-cum-technical assessment to ensure that there is a reasonable chance of obtaining patent.   Eligibility 1. Any individuals or companies who have never owned any patents in any countries or territories before; and 2. All locally incorporated companies according to Company Ordinance Chapter 622; or 3. Hong Kong permanent residents or Hong Kong residents permitted to remain in Hong Kong for not less than 7 years which/who should be the sole inventor or one of the joint inventors of the invention   Document requirement 1. Two copies of Completed application form to HKPC and Innovation and Technology Commission (ITC); and 2. A crossed cheque of HK$3,000 made payable to “Hong Kong Productivity Council” ; and 3. A photocopy of HKID card and address proof for individual applicant; or 4. A photocopy of the Certificate of Incorporation, Business Registration Certificate, and Incorporation Form (Form NNC1) or Annual Return (Form NAR1) and address proof filed with the Companies Registry for company applicant   Funding Amount HK$250,000 at maximum or 90% of total cost of patent application, whichever is the less It covers :- 1. The cost for patent search-cum-technical assessment 2. Administration fee charged by HKPC which is approximately 20% of the total cost involved in patent application 3. Other direct costs involved in the patent application process   What is the requirement for the appointment of patent agent(s) under the PAG? If the application is approved, the applicant has to appoint a patent agent to handle the patent application. Check out the link below:- https://www.hkpc.org/images/stories/2019/Industry_support_service/COE/IPSC/Guide_for_Patent_Agents.pdf   Application Procedure & Timeframe It may take about  6-9 months to go throgh the following steps:- 1. Receive application form 2. Assess the accuracy of the information in the application form 3. Identify if the information is sufficient to start the patent search-cum–technical assessment 4. Determine if the invention has sufficient novelty 5. Conduct face-to-face interview with the inventor(s) in person in Hong Kong 6. Conduct patent search-cum-technical assessment 7. Obtain a search report. For the search report provided by the applicant, the applicant should provide original or certified true copy of the search report for checking. 8. Conduct assignee search 9. Recommend to the Innovation and Technology Commission to approve or reject the application (the decision of the Commission is final)   Application deadline  Open for application throughout the year   Source: https://www.itc.gov.hk/en/fund_app/patent_app_grant.html https://www.hkpc.org/zh-HK/support-resource/support-centers/intellectual-property-services-centre]]> Tue, 08 Sep 2020 12:40:26 +0000 <![CDATA[Re-industrialisation Funding Scheme (RFS)]]> Re-industrialisation Funding Scheme (RFS)   To support and subsidies manufacturers to set up new smart production lines in Hong Kong.   Eligibility All companies in Hong Kong which incorporated under Companies Ordinance, the company which setting up new smart production lines1 in Hong Kong and all industrial sector are welcomed.   Application period From July 2020, all year round.   Funding principles and amount The Government will cover the maximum one-third of the total approved cost or up to $15million per project, whichever is lower but there is no limit of number of projects. The funding can be cover the expense directly related to the establishment of the new production line in Hong Kong, such as fee for engaging technical consultant(s) for the production line design, installation and commissioning of the machinery, staff training, legal service fee etc.   Project duration Normally within 24 months   Documents required
  1. Certificate of Incorporation
  2. Form NNC1 (Incorporation Form)/ form NAR1 (Annual Return, which the company incorporated more than 1 year)
  3. Identification documents of representative of the company
  4. Proof of annual turnover of the company in the previous year, like audited financial statement
  5. Company pamphlet/ leaflet
  6. Supplementary documents
    • A chart of project team of the company which handling of this project
    • A schematic diagram of the production line under application
    • A introduction of the project in PowerPoint by PDF format
    • The qualification proof and job reference of technical consultant under this project
  Source https://www.itf.gov.hk/en/funding-programmes/facilitating-technology/rfs/index.html 1The production line or a significant portion of the production line should fulfil the "smart manufacturing" criteria, i.e. the integrated and intelligent use of "smart" technologies such as Internet of Things, real-time data, application of data analytics and advanced human-machine interfaces, artificial intelligence/machine learning/deep learning, automation and robotics, sensors and actuators, etc. in the production process.]]> Tue, 08 Sep 2020 12:19:55 +0000 <![CDATA[2020 General Department of Taxation - The payment for foreign contractor withholding tax is not permitted to be deferred]]> General Department of Taxation

The payment for foreign contractor withholding tax is not permitted to be deferred

  Official letter No. 3086/TCT-CS dated August 4th, 2020 of the General Department of Taxation regarding deferral of tax payment under Decree No. 41/2020/ND-CP. This Official letter is to reply to some issues relating to the policy on deferral of tax payment due to impact of the Covid-19 pandemic as regulated at Decree No. 41/2020/ND-CP. Accordingly, with regard to withholding tax, it is only allowable to defer the payment for tax which is directly declared and paid by the foreign contractor. The withholding tax declared and paid by the Vietnamese party on behalf of the foreign contractor shall not be eligible for deferral. Regarding deferral of payment of corporate income tax (CIT), with regard to CIT declared in the 2019’s annual statement, it is only allowable to defer the remaining payable CIT under the 2019’s annual report and it is not exceeding 20% of the CIT payable for the whole year according to the annual report. With regard to CIT declared in the first and second quarters of 2020 eligible for the deferral, it does not include CIT declared and paid whenever it is incurred on income from real estate transfer. Relating to deferral of payment for land rental, it is only applicable to establishments that directly lease land of the State in the form of annual payment of land rents engage in business lines or business sectors specified in Article 2 of Decree No. 41/2020/ND-CP and conduct production and business activities as well as earn revenue in 2019 or 2020. In case revenue is not generated in both of the years 2019 and 2020, they are not eligible for the deferral under Decree No. 41/2020/ND-CP. With regard to affiliates of small and micro enterprises eligible for deferral of tax payment, they have to declare the number of employees, revenue, capital according to the figures declared by the enterprises. If an application for deferral of tax payment which has been sent electronically has errors, the enterprise shall send the additional hard copy of application together with the written explanation of the changed information to the tax authority.]]> Tue, 08 Sep 2020 12:06:07 +0000 <![CDATA[2020 Ministerial Statement announced by Minister of Finance on 17 August 2020 (Issue3)]]> Ministerial Statement announced by Minister of Finance on 17 August 2020 (Issue3)   As announced at Budget 2020, all Singaporean employees and self-employed persons (SEPs) who received Workfare Income Supplement (WIS) payments in Work Year 2019 will receive a Workfare Special Payment (WSP) in 2020. The WSP provides a cash payout of $3,000 for all eligible Singaporeans. Eligible employees and Self-Employed Persons will receive the same amount of $3,000, which will be paid over two equal payments of $1,500 each, in July and October 2020. The WSP will provide additional support for low-wage workers aged 35 and above in 2019. Persons with disabilities aged below 35 years in 2019, who meet the WIS eligibility criteria, will also receive the WSP if they had received WIS payments for work done in 2019.   Extension of Workfare Special Payment As announced on 17 August 2020, the WSP will be extended to include lower-wage workers aged 35 and above in 2020 who received WIS payment for Work Year (WY) 2020, and who have not already qualified for WSP previously. The new eligible recipients will receive the full one-off WSP of $3,000 from October 2020 onwards. Each eligible individual can only qualify for and receive the $3,000 WSP once. For employees, their eligibility for WIS and WSP will be automatically assessed based on the CPF contributions made by their employers. SEPs will have to declare their income and make their required MediSave contribution by the following dates: a) 31 March 2021 for WY2019 income, or b) 31 December 2021 for WY2020 income.]]> Mon, 07 Sep 2020 11:12:37 +0000 <![CDATA[2020 Strategic Trade Control Policy]]> Strategic Trade Control Policy   Hong Kong is a free port. It is the Government's policy to encourage free flow of goods. Where controls on imports and exports are required, they are imposed on health, safety, environmental protection, anti-smuggling reasons or to secure Hong Kong’s access to high technology products.   The Import and Export Ordinance (Chapter 60, Laws of Hong Kong) and its subsidiary legislation, the Import and Export (Strategic Commodities) Regulations provide the legal basis for implementing strategic trade control in Hong Kong.   Import, export and transshipment of strategic commodities are subject to licensing control in Hong Kong. The transit of “more sensitive” items also requires import and export licenses.   Apply for Import or Export Licenses Complete a license application form, and send it together with supporting documentation to the Trade and Industry Department for processing. Normally, straightforward cases are processed in 2.5 clear working days. Complicated cases may take longer time to process. While the existing forms are saleable forms (HK$12 and $14 per for import and export license forms respectively) which traders need to purchase at Trade and Industry Department, the application forms are free of charge.   The Customs and Excise Department is responsible for the enforcement of strategic trade control in Hong Kong. Any person who imports or exports any article specified in the Schedules to the Import and Export (Strategic Commodities) Regulations not under and in accordance with an import or export license issued by the Director-General of Trade and Industry commits an offence and is liable to a fine of $500,000 and to imprisonment for 2 years on summary conviction; and to an unlimited fine and to imprisonment for 7 years on conviction on indictment.   Refer to following link for Strategic Commodities Control List of HKSAR https://www.stc.tid.gov.hk/english/checkprod/sc_control.html]]> Fri, 04 Sep 2020 15:25:35 +0000 <![CDATA[2020 Transfer Technology from Taiwan to China will Require Government Approval]]> Transfer Technology from Taiwan to China will Require Government Approval   Taiwan is reviewing the potential risks associated with Taiwan-China business operations and also tightening regulations on cross-strait technical cooperation. The Investment Committee of the Ministry of Economic Affairs (MOEAIC) stated that it will revise a set of guidelines to guide Taiwan’s investment and technical cooperation in mainland China. Now the Taiwan authorities need to approve the transfer or authorization of the use of specialized technology and integrated circuit (IC) layout from Taiwan to China. CNA quoted officials as saying that the guidelines now cover IC layouts because they are considered vital to Taiwan’s industry and require better management and protection. This newly introduced amendment means that any attempt to export Taiwan's expertise to China will be subject to strict scrutiny. The competent authority must review the application and determine whether to approve certain technology transfers, and must consider multiple factors, including the impact on the competitiveness of domestic enterprises, concerns about intellectual property infringement, and the country’s R&D plans. In the context of increasing tension in the relationship between Taiwan and China, Taiwan has launched an initiative to comprehensively regulate all aspects of cross-strait relations.]]> Wed, 02 Sep 2020 17:48:54 +0000 <![CDATA[2020 Ministry of Planning and Investment regarding capital contribution in Limited Liability Companies with two or more members]]> Ministry of Planning and Investment  Amending Investment Registration Certificate if company has not yet received charter capital sufficiently Official letter No. 493/QLKTTW-MTKD dated June 15th, 2020 of the Ministry of Planning and Investment regarding capital contribution in Limited Liability Companies with two or more members According to Clause 3 Article 48 of the Law on enterprises No. 68/2014/QH13, capital contribution of a Limited Liability Company with two or more members must be fully contributed within 90 days from the date of obtaining the Enterprise Registration Certificate. In case any member fails to fully contribute capital, the Board of members may offer the right to contribute capital of such member to other members. In any circumstance, if the charter capital has not yet fully contributed after the 90 – day time limit, the Company has to register to adjust charter capital according to the actually – contributed capital. In case committing the aforesaid regulations, the company not only has to adjust the charter capital but also has to be subject to a fine about VND 15 million according to Clause 3 and point c Clause 5 Article 8 of Decree No. 50/2016/ND-CP.]]> Tue, 01 Sep 2020 11:47:20 +0000 <![CDATA[2020 Ministerial Statement announced by Minister of Finance on 17 August 2020 (Issue 2) - Creating Job Opportunities]]> Ministerial Statement announced by Minister of Finance on 17 August 2020 (Issue 2) Creating Job Opportunities   1) Jobs Growth Incentive (JGI)   Biomedical sciences, financial services, and Information and communications technology (ICT) sectors continue to need more workers. The public healthcare and long-term care sectors are hiring as well. Some firms in the F&B and manufacturing sectors are growing and innovating.   As announced in the Ministerial Statement on 17 August 2020, the Government will launch JGI to support the Government’s efforts to create new jobs for workers, with a special focus on mature workers. This $1 billion programme will support firms to increase their headcount of local workers over the next six months.  
  • For each new local hire, Government will provide wage subsidy for 12 months
- Up to 25% for those below 40 years old, subject to cap - Up to 50% for those aged 40 and above, subject to cap   To better flow workers to new opportunities, Singapore government has set up 24 SGUnited Jobs and Skills Centres in the heartlands. Jobseekers can visit these centers and make the best of the resources available to find a suitable job, traineeship, attachment or training.     2) Additional Information on Way to Hiring Employees   Skillfuturesg supports employers to find the right employees for the workplace.  
  • Career Matching Services
Our Career Matching Services provide you with suitable jobseekers for your hiring needs, as well as programmes and funding schemes to recruit, retrain and retain employees.  
  • MyCareersFuture.sg
MyCareersFuture.sg (MCF) is a portal that aims to provide Singapore Citizens and Permanent Residents with a free job search service that matches them to relevant jobs based on the jobseeker’s skills.  
  • SGUnited Jobs for Companies
Employers facing manpower issues with hiring needs or with manpower in excess can tap on the SGUnited Jobs Initiative.  
  • Workshops, Career Fairs, and Other Events
Join one of our upcoming events to find out more about hiring opportunities and employee training opportunities.]]> Mon, 31 Aug 2020 11:08:25 +0000 <![CDATA[Requirement for Letter of Credit]]> Requirement for Letter of Credit   Q1: What is Advantages and disadvantages of letters of credit? Before using letters of credit you should consider their advantages and disadvantages. The main advantage of using a letter of credit is that it can give security to both the seller and the buyer. Advantages for sellers
  • By asking for an appropriate letter of credit a seller is reassured that providing they present documents in order and within an agreed timeframe they will receive their money in full and on time
  • A letter of credit is one of the most secure methods of paymentfor exporters as long as they meet all the terms and conditions
  • The risk of non-payment is transferred from the seller to the bank (or banks)
Advantages for buyers
  • When a buyer uses a letter of credit they get a guaranteethat the seller will honor their side of the deal and provide documentary proof of this
Disadvantages of letters of credit
  • It's important to be aware of the additional costsinvolved in using a letter of credit. Banks make charges for providing them, so it's sensible to weigh up the costs against the security benefits.
  • If you're an exporter you should be aware that you'll only receive payment if you keep to the strict termsof the letter of credit. You'll need to give documentary proof that you have supplied exactly what you contracted to supply.
  • Using a letter of credit can sometimes cause delays and other administrative problems.
  Q2: What is the difference between a L/C vs Bank Guarantee? A LC is an undertaking of payment given by the Buyer’s Bank to the Seller for a specified sum provided the Seller ships out the goods and present the required compliant documents to the Buyer’s Bank by a predetermined deadline. The LC ensures the payment will be made as long as the services are performed. A bank guarantee, guarantees a sum of money to a beneficiary. Unlike a LC, the sum is only paid if the opposing party does not fulfill the stipulated obligations under the contract. LC ensure that a transaction proceeds as planned, whereas bank guarantees reduce the loss if the transaction doesn’t go as planned.   Q3: Can a Letter of Credit be cancelled prior to expiry? Yes. Whether a LC is revocable or irrevocable determines whether the buyer and the issuing bank are able to manipulate the LC or make corrections without informing or getting permissions from the seller. All LCs are irrevocable, hence in practice the revocable type of LC is increasingly obsolete. Any changes (amendment) or cancellation of the LC (except when expired) is done by the applicant (buyer) through the issuing bank. It must be authenticated and approved by the beneficiary (seller).   Q4: What different between L/C date expiry and shipment date expiry In a Letter of Credit, there will be a date of shipment of goods and date of expiry of LC. The date of shipment of goods means, the consignment has to be shipped out from seller’s place on or before the last date of shipment of letter of credit. So, the Bill of Lading date should be on or before the date of shipment mentioned on Letter of Credit as 'Shipment Date'. If letter of credit says, ‘ON BOARD’ Bill of lading, the date of ‘on board’ bill of lading should be on or before the date of ‘ON BOARD’ shipment date mentioned in the letter of credit. LC expiry date means the last date to submit the exported documents with bank for negotiation of documents. Here, the exporter need to submit all required documents with bank after export as per the guidelines mentioned in the letter of credit. Means, Letter of Credit is void if shipped goods before the date mentioned in LC for shipment, but not submitted documents for negotiation within the validity period of Letter of Credit.   Q5: I opened a letter of credit to my supplier, but he did not ship the goods. Will bank refund my fee? Once the letter of credit is opened your fee cannot be refunded. We recommend to all of our clients that they need to assure themselves of their suppliers' ability to perform before opening any banking instruments to them.]]> Fri, 28 Aug 2020 16:50:41 +0000 <![CDATA[Conditional waiver of surcharges for instalment settlement of demand notes for the Year of Assessment 2019/20]]> Conditional waiver of surcharges for instalment settlement of demand notes for the Year of Assessment 2019/20   The Inland Revenue Department (“IRD”) started issuing the tax demand notes for the Year of Assessment 2019/20 on 12 August 2020.   Taxpayers who encounter financial difficulties in settling their tax bills on time may apply to the IRD for payment of tax by instalments before the due date of the tax demand notes.  In return, IRD will impose a surcharge of not exceeding 5% on the amount of tax outstanding after the due date and a further surcharge of not exceeding 10% on the amount remaining unpaid (including tax and 5% surcharge already imposed) after 6 months from the due date.   Relief Measure for the Year of Assessment 2019/20   In view of COVID-19 outbreak, for instalment plans approved by the IRD allowing taxpayers in financial difficulties for settlement of Salaries Tax, Profits Tax and Personal Assessment demand notes issued between August 2020 and August 2021 for the Year of Assessment 2019/20, NO surcharge will be imposed for a maximum period of one year counting from the respective due dates of the demand notes provided that the instalment plans are duly adhered to.   If payments are not made according to the approved instalment plan, the instalment arrangement will be cancelled and normal surcharge rule will be applied.   The above relief measure is not applicable to taxpayers who have to settle their tax liabilities before departing Hong Kong and taxpayers paying property tax.   Please refer to https://www.ird.gov.hk/eng/tax/cws2.htm for application details.]]> Fri, 28 Aug 2020 16:18:14 +0000 <![CDATA[2020 3rd relief package to boost Taiwan economy]]> 3rd relief package to boost Taiwan economy   Taiwan’s president, Tsai Ing-wen, said that the third phase of relief measures, including a budget of NT$210 billion (US$7.13 billion) and new investments totaling of NT$6 trillion, will help Taiwan recover from the Wuhan coronavirus (COVID-19) pandemic.   These new plans are based on the previous package of NT$1.05 trillion and are designed to help companies and workers overcome the effects of the virus. This is the largest economic assistance program in Taiwan's history.   The issuance of "triple stimulus coupons" a month ago and measures to promote domestic tourism without foreign tourists have been successful in helping companies recover. The president encourages domestic travel and consumption to promote the domestic economy.]]> Wed, 26 Aug 2020 17:05:48 +0000 <![CDATA[2020 Ministry of Planning and Investment - For increasing of charter capital of foreign direct investment company]]> Ministry of Planning and Investment

For increasing of charter capital of foreign direct investment company

  Official letter No. 1042/BKHĐT-ĐKKD dated February 21st, 2020 of the Ministry of Planning and Investment regarding foreign investor's capital contribution According to Article 29 of the Law on Enterprises No. 68/2014/QH13, charter capital is one of the contents which must be indicated on the Enterprise Registration Certificate. Upon occurrence of increase or decrease in charter capital, it is required to register to change the Enterprise Registration Certificate. Clause 2 Article 31 of the Law on Enterprises No. 68/2014/QH13 regulates that the time limit for registration of changes is 10 days from the day on which such changes are made. As the result, shareholders must sufficiently contribute the additional charter capital, and then company amends the Enterprise Registration Certificate. Regarding the transfer of contributed capital of foreign investors according to the regulations at Circular No. 06/2019/TT-NHNN, the Ministry of Planning and Investment requests to contact with the State Bank of Vietnam for having guidelines under its competence.]]> Tue, 25 Aug 2020 14:55:38 +0000 <![CDATA[2020 Ministerial Statement announced by Minister of Finance on 17 August 2020 (Issue 1) - Extension of Jobs Support Scheme]]> Ministerial Statement announced by Minister of Finance on 17 August 2020 (Issue 1)   Extension of Jobs Support Scheme
  • The Jobs Support Scheme (JSS), which was launched at the start of the pandemic, helps companies to retain jobs by covering the salary of workers - currently up to August 2020.
  • As announced in the Ministerial Statement on 17 August 2020, the JSS will now be extended by up to seven months, covering wages paid up to March 2021.
  • The support given will vary based on the sectors, with hardest-hit sectors like aerospace, aviation and tourism receiving more.
  • Under the extended JSS, sectors are supported at the following Tiers. Please refer Table 1.
  • JSS support levels will be tapered based on the projected recovery of the various sectors. Please refer Table 2 for an overview of the revised JSS Payment schedule.
  Table 1: Base Tier of Support
JSS Support Eligible Sectors Remarks
Tier 1     Aviation Aerospace Tourism 50% of wages paid from September 2020 to March 2021.
Tier 1     Built Environment 50% of wages paid in September 2020 to October 2020  
Tier 2   Built Environment 30% for wages paid from November 2020 to March 2021.
Tier 2 Food Services Retail Arts and Entertainment Marine and Offshore 30% of wages paid from September 2020 to March 2021.
Tier 3 For the large majority of the remaining sectors 10% of wages paid from September 2020 to March 2021.  
Tier 3 For the few sectors that are managing well, such as biomedical sciences, financial services, Information and Communication Technology and Media, Precision Engineering, Electronics and Online and Retails and Supermarkets. 10% of wages paid from September 2020 to December 2020. JSS support for these sectors will cease after December 2020.
  Table 2: Revised JSS Payment Schedule
Month of Payout Payout computed based on wages paid in: Tier 1 Tier 2 Tier 3
Apr 2020 Oct – Dec 2019 75% 50% 25%
Jul 2020 Feb – Mar 2020 75% 50% 25%
Apr 2020 (Circuit Breaker) 75% 75% 75%
Oct 2020 May 2020 (Circuit Breaker) 75% 75% 75%
Jun – Aug 2020 75% 50% 25%
May 2021 [Extended] Sep – Dec 2020 50% 30% 10%
Jun 2021 [Extended] Jan – Mar 2021 10% (0% for sectors that are managing well)
]]> Mon, 24 Aug 2020 14:28:44 +0000 <![CDATA[2020 How to maintain corporate bank account?]]> How to maintain corporate bank account?   Nowadays, one of the main commitments of Banks is to fight financial crime, such as money laundering, sanctions evasion, terrorist financing and fraud. Hong Kong Monetary Authority (HKMA) requires the bank to monitor customer for avoid AML transaction and a lot of bank start to implement periodical review, conduct Customer Due Diligence (CDD) or update information by fulfilling Common Reporting Standard (CRS) and the US - Foreign Account Tax Compliance Act (FATCA) reporting.   Bank may require you to update the business information regularly, you should provide specific business proof to complete KYC (Know Your Customer) checking based on your account transaction history.   To ensure that banks keep your company with the latest business information, please inform the bank from time to time if any change of your company structure or particulars.   Including but not limited to:-
  • Company structure changed whatever directors/ shareholders/ beneficiary owners;
  • Change of authorized signatories;
  • Change of Company/ Business Name
(Subjected to the case, original/ certified true copy of supporting documents are required.)   In addition, you should keep the updated contact information in the bank such as contact phone number and correspondence address to ensure that the bank can be in contact with you in the right way.]]> Fri, 21 Aug 2020 17:20:57 +0000 <![CDATA[The Second Tranche of Employment Support Scheme (ESS) starts on 31/8/2020 New Updates!]]> WHAT IS THE AMOUNT OF SUBSIDIES? The Eligible employers whom participating in MPF schemes or Occupational Retirement Schemes Ordinance (ORSO) Schemes will receive maximum HK$9,000 wage subsidy per employee that covering from September to November 2020. The amount of wage subsidies will be calculated based on 50% of the actual wages paid to each employee in the "specified month", with a wage cap at $18,000 per month. It has improved that the employees whose age reached 65 or above where the information on the employment (but not their wages nor MPF contributions made for them by the employers) is shown on the employer’s MPF record certificate, the amount of wage subsidies will be $5,000 per employee per month. Eligible self-employed people who did not receive the $7,500 one-off lump-sum subsidy under the ESS’ first tranche can also apply in the same period. WHAT TO UNDERTAKE? Be noted that Employers participating in ESS must undertake and warrant that they will – (1) not implement redundancies during the subsidy period; and (2) spend all the wage subsidies on paying wages to their employees. Additional undertakings in property management companies and supermarket chains:- (3) Big property management companies should undertake to give back at least 80% of the amount equivalent to their wage subsidies to the owners or owners' associations. (4) The two major supermarket chains (namely, ParknShop and Wellcome) should undertake to provide cash coupons or more discounts to customers and NGOs during the Subsidy Period. HOW TO APPLY? The application via ESS Online Portal (https://www.ess.gov.hk/) starts from 31 August, 07:00am to 13 September 2020, 11:59pm for employers and self-employed persons. ***Employers who have applied for the first tranche (regardless of the application result) must submit a new application for the second tranche of wage subsidies*** WHEN WILL RECEIVE THE PAYMENT? In general, the payment to be received about 3-4 weeks after application submitted for employer and self-employed person. If the case related to Occupational Retirement Schemes  (“ORSO”) may take longer time for process. WHAT KIND OF DOCUMENTS/ INFORMATION ARE REQUIRED FOR EMPLOYER WHO HAVE RECEIVED SUBSIDIES IN THE FIRST TRANCHE OF ESS? The employers can login the ESS portal with same login ID and password that applied in first tranche. They’re required to provide same bank account details for receiving the subsidies unless there is special circumstances. However, they may change the specified month previously selected from either December 2019, January, February, or March 2020 as the 'specified month' as the basis of calculation of the subsidy but additional information will be required. WHAT KIND OF DOCUMENTS/ INFORMATION ARE REQUIRED IF NOT APPLIED FOR ESS IN THE FIRST TRANCHE OR EMPLOYERS WHO APPLIED BUT DID NOT RECEIVE WAGE SUBSIDIES IN THE FIRST TRANCHE? The applicant shall authorize ESS Processing Agent (“Agent”) to received Mandatory Provident Fund (“MPF”) scheme records from their MPF trustees. The MPF trustees will provide the same to Agent, to handling application and calculation of the subsidy amount. For the employer under MPF scheme, the following information should provide for the application: - To fill-in:
  1. Company Information
  2. Number of Business Registration Certificate
  3. MPF Trustees Name
  4. MPF Scheme Plan Name
  5. MPF Registration number
  6. Bank account detail
To upload:
  1. Corporate bank statement
If the employer which under ORSO, should additional to provide staff headcount and employment information on March 2020, all of staff’s salary in specific month by designated form. For the self-employed person, they should provide the above documents except Business Registration Certificate. ANY CLAW BACK AND PENALTY? If the employer fails to use the all subsidy for employees’ wages during the period, the Government will claw back the unspent balance of the subsidy. Employer will have to pay penalty if total number of employees on the payroll (excluding those on no-pay leave) in any one month during the subsidy period of the second tranche (September to November 2020) should not be less than the “committed headcount of paid employees” (meaning the total number of paid and unpaid employees in March 2020). Claw back calculation:
Subsidies clawed back = Subsidies received for a particular month - Total actual wages paid to employees for a particular month
Penalty calculation:
Penalty of making redundancies in particular month = Subsidies received for a particular month ($) x Headcount reduction for a particular month (%) x Penalty %
Headcount reduction %
Headcount reduction percentage for a particular month (%) = Committed headcount of paid employees - Total no. of paid staff in particular month x 100%
Committed headcount of paid employees
Penalty %
Total no. of paid and unpaid staff (as of March 2020) Penalty %
<10 10%
10 – 49 20%
50 – 99 40%
100 – 499 60%
≥ 500 80%
In addition to the above penalty: For employers who have received the first tranche of subsidies, the Government reserves the right to reject an employer's application for the second tranche of wage subsidies if the Secretariat considers that the magnitude of “redundancies made” during the subsidy period of the first tranche (i.e. from June to August 2020) was substantial, and the employer concerned fails to prove its intention to employ persons to replace those being laid off, re-employ those who have been laid off, or there is no other reasonable explanations provided for the "redundancies made”. the Government also reserves the right to claw back the second tranche of wage subsidies disbursed to an employer (in full or in part) if considers that the magnitude of “redundancies made” by the employer during the subsidy period of the second tranche (i.e. from September to November 2020) was substantial, and the employer concerned fails to prove its intention to employ persons to replace those being laid off, re-employ those who have been laid off, or there is no other reasonable explanations provided for the redundancies made”.   Source: https://www.ess.gov.hk/en/]]> Fri, 21 Aug 2020 16:24:03 +0000 <![CDATA[Innovation and Technology (FBL) Fund for Better Living]]> Innovation and Technology (FBL) Fund for Better Living To make people’s daily living more convenient, comfortable and safer, or address the needs of specific community groups. The Funding size of HK$500 million, is expected to operate for 5 years since 2017.   Eligibility          1)  NGOs receiving funding from the Social Welfare Department 2)  Public institutions as defined in Section 2 of the Prevention of Bribery Ordinance (Chapter 201), except government bureaux/departments, executive councils and legislative councils 3)  Professional body 4) Business organization 5) Social service organizations exempted from tax under section 88 of the Inland Revenue Ordinance (Cap 112) **Individuals and private companies are not eligible to apply for the FBL. "   Document requirement  1) Applicant’s Certificate of Incorporation. The Memorandum of Association or the Articles of Association; 2) Audited financial statements of the latest financial year; 3) Supporting information of the estimated valuation on the usage of in-kind contribution, if applicable, by the Applicant; 4) Supporting documents, if any, of past project(s) carried out by the Applicant; 5) Curriculum Vitae (“CV”) and other reference documents of the Project Team;   Application Procedure   Generally, applicants should submit a completed application form including project details, budget, implementation programme etc. for approval.  The Assessment Panel will consider its and be notified applicants of results. Application can be submitted by post/ in-person/ online https://fbl.itb.gov.hk/UserReg?lang=EN   Funding Scope  Projects will be funded by the FBL -Enable to benefit the public at large or specific groups, and should be in line with government policies -Take account of innovative application of technologies -Involve daily living, environment, education, health, safety, transport that can benefit the community -Outcome can be in the form of mobile app, product, device, equipment, tool, service, software, or any other form with valid justifications -Not be profit-making during the funding period -mainly be developed within Hong Kong   Funding Amount           Grant up to 90% of the total approved costs of the project or HK$5 million, whichever is the less   Project Duration           Applicant has to complete the development and roll-out of the project within 12 months, and run the project for at least two consecutive years (except for project that is one-off in nature). The funding period of the project will be no more than three years.   Application deadline The programme is open for application throughout the year   Source : https://fbl.itb.gov.hk/  ]]> Wed, 19 Aug 2020 17:08:03 +0000 <![CDATA[2020 Taiwan Tighten Scrutiny on Investment from China]]> Taiwan Tighten Scrutiny on Investment from China   As China implements strict Hong Kong national security laws, Chinese investment in Taiwan will be subject to more scrutiny.   As the controversial legal implications necessitate a review of the current regulations on investment in China and Hong Kong, it is expected that a proposal to amend the regulations will be proposed soon.   Currently, Hong Kong's investment is considered as "foreign" rather than "Chinese", but the promulgation of national security legislation may provide Chinese individuals or companies with opportunities to invest in Taiwan through Hong Kong companies and take advantage of the preferential status of semi-autonomous countries.   The proposed amendment will attempt to clarify the definition of Chinese and Hong Kong investment and reconsider the 30% cap on Chinese participation in projects classified as foreign investment. Not only will Chinese companies connected to the military be subject to strict scrutiny, but companies connected to the Chinese Communist Party will also be subject to strict scrutiny.   The revised bill will not have retrospective effect, but any adjustments to existing investments will be subject to the new rules.]]> Wed, 19 Aug 2020 15:59:45 +0000 <![CDATA[2020 Hanoi Department of Taxation - Guidelines on declaration of withholding tax for incomes from capital transfer of foreign c]]> Hanoi Department of Taxation Guidelines on declaration of withholding tax for incomes from capital transfer of foreign contractor   Official letter No. 66768/CT-TTHT dated July 17th, 2020 of the Hanoi Department of Taxation regarding declaration of withholding tax with regard to the activity of capital transfer of a foreign organization If a foreign contractor transfers capital contributed in a company operating in Vietnam, the responsibility to declare tax for incomes from the capital transfer shall depend on form of activity of such contractor in Vietnam.   In details:
  • If the contractor operates under the Law on enterprises and the Law on Investment, he shall himself declare tax
  • If the contractor does not operate under the aforesaid Laws, it depends on whether the transferee is Vietnamese or foreign organization, individual.
  • If the transferee is the Vietnamese organization, individual, the transferee shall declare tax.
  • If the transferee is the foreign organization, individual, the company that is receiving the contributed capital shall declare tax.
  Currently, there are 2 kinds of taxes related to the capital transfer, including corporate income tax (CIT) or personal income tax (PIT). The tax declaration must be submitted within 10 days from the date of signing the contract of capital transfer.   The dossier of tax declaration comprises: - A declaration form No. 05/TNDN; - A copy of the capital transfer contract (Vietnamese Version); - A copy of the capital contribution certification; - Supporting documents for the expenses related to capital transfer.]]> Tue, 18 Aug 2020 11:01:12 +0000 <![CDATA[2020 Open a Corporate Bank Account Remotely]]> Open a Corporate Bank Account Remotely   In view of the Covid-19 pandemic, now we are able to arrange the corporate bank account to be opened remotely without your physical visit in Singapore. The meeting between the banker can be arranged through the video call based on your prefer schedule for signing the bank form and go through the due diligence process.   There are 3 major local banks in Singapore which are DBS, OCBC and UOB (the “Banks”). The banks in Singapore offers comprehensive features such as multi-currency accounts, internet banking, debit cards, digital bank token, cheque books and trading services. The company may compare the features as well the minimum requirements of the banks in order to select the suitable bank that meet your needs.   The below documents/information are required before the video call can be conducted:-
  • The Singapore company must be incorporated
  • The reason or intention to set up corporate bank account in Singapore;
  • Latest invoices of your existing company (e.g. suppliers and customers invoices);
  • Certificate of incorporation of your existing company in your country;
  • Any list of supplier and/or customer in Singapore or South East Asia;
  • Any contract or agreement of your existing company;
  • Director’s CV;
  • Description/detail of your products to be sold in Singapore or South East Asia.
  Remark: Please note that the remote bank account opening is subject for the bank further updated (limited time) as well the term and conditions will be changed as depending to the latest decision of social measurement of the pandemic of Covid-19 which would be lifted from the Singapore Government and Monetary Authority of Singapore.]]> Mon, 17 Aug 2020 11:35:19 +0000