Hong Kong Ordinances

INLAND REVENUE ORDINANCE - SECT 63J

Holding over of payment of provisional profits tax

(1) Where in relation to any year of assessment a person is liable to pay
provisional profits tax, he may, by notice in writing lodged with the
Commissioner not later than-

   (a)  28 days before the day by which the provisional profits tax is to be
        paid; or

   (b)  14 days after the date of the notice for payment of provisional
        profits tax under section 63H(7), whichever is the later, apply to the
        Commissioner on any of the grounds specified in subsection (2) to have
        the payment of the whole or part of such tax held over until he is
        required to pay profits tax for that year  of assessment or, in the
        case of an application on the ground set out in subsection (2)(e),
        until-

        (i)    the determination of the objection or settlement thereof under
               section 64(3); or

        (ii)   he is required to pay profits tax for that year of assessment,
               whichever is the sooner. (Replaced 52 of 1993 s. 8)

*(2) The grounds referred to in subsection (1) are-

   (a)  that the assessable profits for the year of assessment of the person
        assessed to provisional profits tax are, or are likely to be, less
        than 90 per cent of the assessable profits for the year preceding the
        year  of assessment or of the estimated sum in respect of which the
        person is liable to pay provisional profits tax;

   (b)  that the amount of any loss brought forward for set off to that
        year of assessment under section 19 or 19C has been omitted or is
        incorrect;

   (c)  that the person assessed to provisional profits tax has ceased, or
        will before the end of the year of assessment cease, to carry on his
        trade, profession or business and that the assessable profits to be
        assessed under section 18D for that year of assessment are, or are
        likely to be, less than the assessable profits for the year preceding
        the year of  assessment or of the estimated sum in respect of which
        the person is liable to pay provisional profits tax;

   (d)  that the person assessed to provisional profits tax has elected to be
        personally assessed under Part VII for that year of assessment and
        that such personal assessment is likely to reduce his liability to
        tax; or (Amended 19 of 1996 s. 12)

   (e)  that the person assessed to provisional profits tax has objected under
        section 64 to his assessment to profits tax for the year preceding the
        year of assessment.

(3) On receipt of an application under subsection (1), the Commissioner shall
consider the same and may hold over the payment of the whole or part of the
provisional profits tax.

(4) The Commissioner shall, by notice in writing, inform the person applying
under subsection (1) of his decision. (Added 7 of 1975 s. 40)
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______________ Note:

* On the additional ground for making a hold over application in respect of
the year of assessment commencing on 1 April 2003, please see the transitional
provision in section 15(3) to (7) of 24 of 2003 or section 18 of 21 of 2008
respectively.