Hong Kong has signed agreements with Japan and the United Kingdom with the goal or starting automatic exchange of financial account information in tax matters (AEOI) with these two jurisdictions in 2018.
In September 2014, Hong Kong indicated its support for the standard promulgated by the Organization for Economic Co-operation and Development (OECD) on AEOI, with a view to commencing the first exchanges with suitable partners on a reciprocal basis by the end of 2018. On June 30, came into effect the legislation changes that provide the necessary legal framework for Hong Kong to implement AEOI.
Hong Kong has all along been supportive of the international efforts to enhance tax transparency and combat cross-border tax evasion. The agreements with Japan and the United Kingdom will pave the way for Hong Kong's timely implementation of AEOI. This is important to maintain our reputation as an international financial center and a responsible member of the international community," said the spokesman.
The Government has stated that it will expand Hong Kong's network of AEOI with partners with which it has signed a double taxation agreement (DTA) or a tax information exchange agreement (TIEA). The Government will start AEOI discussions with all other DTA/TIEA partners committed to adopting AEOI, and seek to conclude as many Competent Authority Agreements (CAA) as possible within 2017.