How to Exit Hong Kong

Some pointers to make it easier to leave Hong Kong these days

Here's a quick rundown on how to exit Hong Kong...

Pay your tax before you leave

Come here to do all your tax paperwork

When you resign from your workplace, be sure to get a letter from the HR department about your termination of employment due to departing Hong Kong, along with the requisite IR56G, the notification form from your employer to inform the Inland Revenue Department that you will depart from Hong Kong.

Do not leave this to the last minute before you leave. Take these two pieces of paper and your HKID to the 1/F of  Inland Revenue and it's best to go before it opens at 9am. You will get a ticket and when your number is called, tell the person at the counter you are leaving and show them these letters from your company.

They will tell you to go to the 26/F, where again you queue up and get the requisite green tax form to fill out (hence the IR56G form is handy). Be sure to bring any receipts that you may have made for charitable donations to declare in this form as well.

Hand in the green form and the person may tell you come back in the afternoon.

You will need to fill out this green tax form

At that time they will give your tax bill, which you pay by going back down to Hong Kong Post on the 1/F. There will be several people in front of you with the same white piece of paper with red ink. You cannot pay by credit, only cash or debit.

When this is processed, go back up to the 7/F to get your release letter. This is important to have in order to apply to withdraw your mandatory provident fund (MPF) if you are a foreign passport holder.

All the above can be completed in one day.

Withdraw MPF

You need to say an oath that is witnessed by the Home Affairs office before you can apply to withdraw your MPF, along with the release letter.

Because of the fifth wave, this oath could only be done by appointment only. Best to go to your closest Home Affairs office and get the phone number to make the appointment -- no walk-ins allowed. It's a very antiquated way of doing this, as you cannot book online. Just press redial on your phone 30, 40 times until you get through. 

In my case the oath service was only available Monday, Wednesday and Friday at select times. You might be lucky and get the next day booking or next week. They will ask for your name and contact phone number.

On the appointed day arrive a few minutes early (there will be a queue). A person will check each person against their appointment list (hence no walk-ins allowed). Your request is processed and then an appointed person will witness you reading out a statement in English or Chinese. It is a basically a run-on sentence in legalese saying that you abide by the Oath and Declarations Ordinance, that everything you have declared in your forms are true. While I was waiting for my turn, I was given the Oath and Declarations Ordinance to read...

Oath office is around the corner on O'Brien Road

Once you have read out the oath, the witness will sign and stamp a chop on a letter saying you have completed the oath. Send this original copy to the MPF provider along with the application to withdraw your MPF from either your provider or the MPF website. 

It will ask for information about where you are moving to, your contact details and which bank account the money should be sent to.

Your MPF provider may contact you for further information; in my case it was my tax number in the country I will reside in, and I filled that in online. 

From there it should take about a month for it to be processed.

Others have told me they received two tax refund cheques from Inland Revenue.

Packing up

Purging can be a tough exercise, but when it comes down to it, try to be as ruthless as possible. Give away as much as you can to friends and family, or to charities that could use clothing, stationary, tableware, kitchenware, and so on. 

Mail as much as you can ahead of time

If you don't have any furniture, best to send back things via Hong Kong Post via ship as the cheapest option. Either find a sturdy cardboard box or use the ones sold at the post office and make sure they are secured well with packing tape. 

When you fill out the form, you will need to itemise everything in the box and put a total value on them, so best to make a list as you pack the box -- once it's sealed it's hard to remember what exactly what was in there! Around 10kg is over HK$600 which will arrive in about three months' time. So best to ship off what you don't need first.

Before I left, SpeedPost was available -- packages under 2kg could be sent in two weeks. To make sure I was under 2kg, I brought the unsealed box to weigh it before using the packing tape. The staff don't mind you weighing the box as long as they aren't busy, hence going in the morning is a good time.

You cannot mail any electronics, liquid like perfume, but something like hand cream is OK. Obviously no batteries, lighters or hand sanitiser (anything with alcohol in it). Here's the list.

Miscellaneous

If you are renting, be sure to inform providers for electricity, gas, water, etc that you are leaving and to pay up the bills. They will return the deposits to you via cheque. Same goes for settling mobile phone and internet, gym memberships and so on.

Most people will keep their bank accounts active to either receive the MPF withdrawal or to keep paying mobile phone fees while abroad to retain their Hong Kong numbers. I have heard it is harder to open bank accounts in Hong Kong now, so if you can keep a basic one open, that could be handy.

Try to complete your "bucket list" if you have one. In my case because of the social-distancing measures during the pandemic, and time was ticking fast, I was just happy to see whoever wanted to meet up. 

Departure

Check once, twice, three times to make sure you are clear of the Covid-19 requirements for your destination, as they can change suddenly. In my case from the time I booked my flight to departure rules had changed so that there was no need for a PCR test in both the transit city or the final destination.

Some countries may require you to download a specific app to input all your flight and passport information.

Even though it's all digital, be old school and print out everything. Wifi doesn't work all the time.

Hong Kong International Airport is a ghost town when it comes to services and shops. Practically all of them were closed in the check-in area, and nothing was open past security and immigration except for washrooms and free water. Bring snacks if you want to nibble on something before your flight, or eat a big meal beforehand.

If you are flying economy, be sure to get there at least three hours beforehand as there will be a big queue to check-in, otherwise those in business and first class won't have much of a wait. Be sure to pack all your electronics in your hand carry luggage, not check-in suitcases for inspection.

OK One more post tomorrow on a few of the final things I did in Hong Kong!

Covid-19 Cases Could Jump Exponentially after CNY

There may be a spike in Covid-19 cases after Chinese New Year

The number of Covid-19 cases keep climbing in Hong Kong, with 142 cases recorded today, and 160 preliminary positive.

Most worrying are the untraceable cases with experts stunned as to how to track down their sources. And with the Lunar New Year public holidays coming to a close, in the next few days there could be a possible explosion of cases after people gathered with their families during the most important festival in the calendar.

Chuang (left) urges people not to meet for CNY

"We are worried because we may see hundreds or more cases as the Omicron variant is more transmissible. It poses a huge burden on the health care system," Dr Chuang Shuk-kwan, of the Centre for Health Protection said today in the media briefing.

"We also have seen some airborne transmission reported from some family gatherings, and we urge people to stay at home."

In general this is true -- some families have opted not to meet up, while others have had muted gatherings. There are also reports of people receiving fewer laisee or lucky money than in previous years because they are worried about meeting people.

However, respiratory disease specialist Dr Leung Chi-chiu finds the number of untraceable cases worrying and suggests the government should hand out more fast-testing kits in the community, saying the city doesn't have the capacity to do large-scale testing.

But Chuang refuted this, saying the current lockdown of certain buildings was effective enough and that the authorities would continue to identify high-risk areas through confirmed cases and sewage tests.

Jeff Leung first senior official to get Covid-19

Of the new infections recorded today one was identified as Jeff Leung Wing-yan, Deputy Commissioner of Labour (Occupational Safety and Health). He is the first senior government official to be infected with the coronavirus.

In addition, people trying to get their business completed with government departments will have to be more patient, as the work from home arrangement will be extended for all 170,000 civil servants aside from those serving essential and anti-epidemic services until February 11.

As a result a number of government departments will limit services, such as inland revenue, labour, civil engineering and development, information services, building, drainage services, social welfare, and electrical and mechanical services, as well as the Housing Authority, Education Bureau, and Hongkong Post.

In the case of the last one, air mail stopped for many countries anyway, but this just shuts the city down even further.

Tonight the government issued another notice, concerned about Covid-19 spreading in Hong Kong.

Dr Leung suggests more testing kits to people

"The Delta and Omicron mutant strains are spreading in the community at the same time, posing unprecedented threat to Hong Kong," said a government spokesman. 

"The epidemic situation of the fifth wave may be more severe than that of the previous four waves. Members of the public are urged to stay vigilant, wear masks properly and get vaccinated as early as possible in order to greatly reduce the risk of falling seriously ill and death when infected. With the concerted co-operation of the public in fighting the epidemic, Hong Kong will surely overcome the current epidemic situation."

Sounds like a hunker down in the bunker kind of message...

Charities on National Security Alert

Hui says charities endangering national security not tax exempt

 

Up until today, donating to a charity was considered a sign of individuals caring for the community. 

But now the Hong Kong government is making donors think twice about giving their money away now that groups that endanger national security will lose their status as charities, and stop benefiting from tax exemptions.

The Secretary for Financial Services and the Treasury Christopher Hui Ching-yu announced this on his official blog on Monday. He wrote that the "tax guide for charitable institutions and trusts of a public character" had been amended with immediate effect.

Change refers to 612 Humanitarian Relief Fund

It is largely seen as targeting opposition-leaning social welfare or community groups.

Before, charities were exempted from paying tax, and taxpayers enjoyed deductions on their income tax for making donations.

Hui's announcement was a response to the barrage of questions he faced from pro-Beijing lawmakers in the Legislative Council about the 612 Humanitarian Relief Fund that has paid out more than HK$243 million (US$31.2 million) to those facing criminal prosecution or financial hardship as a result of the 2019 anti-government protests.

Earlier this month the National Security Department revealed it was investigating the fund as well as the Alliance for True Democracy, which provided its bank account to the fund's trustees to hold donations.

Now the Inland Revenue Department will no longer recognize any group that "supports, promotes or engages in activities that are detrimental to national security" as a charitable organization. The tax bureau will also revoke exemptions from paying tax.

Inland Revenue will check on groups periodically

"Carrying out charitable activities in society to promote public interest is certainly worthy of encouragement, but we must also prevent people with ulterior motives from using the name of charity to actually endanger national security," Hui wrote.

"Therefore, if a group is found to participate in or use its resources to support or promote activities that are not conducive to national security after review, we will not hesitate to exclude it as a charitable organization and revoke its tax exemption status."

Hui added the Inland Revenue Department will conduct regular reviews and pay attention to "whether the substantive nature of the organization concerned has changed," Hui added.

To be recognized as a charitable organization, a relevant group must be established purely for legally recognized altruistic purposes, such as poverty relief, promotion of religion or education, or for the benefit of the public.

Which other organizations will be targeted? It will be a matter of time before more will be revealed, but in the meantime, the new regulation really makes people think twice about donating to what they assume is a legitimate charity...

 

Hong Kong Landmark Ruling on Same-Sex Marriage

There is a strong gay community in Hong Kong, along with its supporters

Breaking News -- A married gay civil servant is now entitled to the same spousal benefits as a heterosexual couple in Hong Kong.

The landmark ruling came down today which could have a massive ripple effect in all sectors, as for a long time the government refused to acknowledge benefits in same-sex marriages.

The High Court refused the Civil Service Bureau's argument that it was denying benefits for same-sex spouses to protect "the integrity of the institution of marriage".

In 2014, senior immigration officer Leung Chun-kwong married his partner Scott Adams in New Zealand. But when Leung tried to change his marital status to be eligible for spousal benefits back in Hong Kong, he was refused, and so he launched a lawsuit against the secretary for the civil service and the commissioner of the Inland Revenue Department.

The High Court ruled a gay couple is entitled to benefits

While the court ruled in favour with Leung with regards to the CSB, he lost his case with the Revenue Department.

In his 44-page judgment, Mr Justice Anderson Chow Ka-ming called the bureau's policy "indirect discrimination" and rejected its assertion that the secretary had a justifiable aim "to act in line with the prevailing marriage law of Hong Kong" and not to "undermine the integrity of the institution of marriage... hence safeguarding public order".

Chow wrote: "I am unable to see how denial of 'spousal' benefits to homosexual couples... legally married under foreign laws could or would serve the purpose of not undermining the integrity of the institution of marriage in Hong Kong, or protecting the institution of the traditional family."

Leung said the court's decision had wide-ranging implications. "The government is the biggest employer. The whole of Hong Kong will follow [this decision]."

He urged the government to review its policies and update them instead of wait for legal challenges, a process, he said was stressful, expensive and time consuming.

Rainbow-coloured lions have conservatives very worried!

"We were not asking for special treatment. We simply wanted to be treated fairly and with dignity," he said, adding that the court had "recognized and rectified a fundamental unfairness".

The bureau says it is reviewing the decision with the Justice Department, while the Equal Opportunities Commission urges the government to review its policies and extend equal rights to sexual minorities.

However, when it came to the Inland Revenue Department, Leung was unable to change his marital status to same-sex marriage because a provision in the Inland Revenue Ordinance states clearly that a marriage is between a man and a woman.

Nevertheless, we finally a decision that drags Hong Kong into the 21st century. The city is a fiscally liberal one, and so should its society. Christian conservatives are going to be terrified by this ruling -- they can't even stand having rainbow-coloured replica lions at HSBC in Central.

But this is the reality -- there are same-sex couples in Hong Kong and they deserve to be treated equally under the law. And now they do legally.

Case closed? We hope so.

The Unmotivated HK Taxman

Hong Kong has a number of individuals and entities listed in these documents

Since the Panama Papers have revealed a number of individuals and entities from Hong Kong -- 26,000 of them or 7 percent of the total 366,000 overseas shell companies, the Hong Kong government doesn't seem to be outraged.

Development minister Paul Chan is one of them...

Some of them are even in Leung Chun-ying's own administration -- development minister Paul Chan Mo-po, and Executive Council member Bernard Chan. Others include failed chief executive contender Henry Tang Yin-yen, several lawmakers like Michael Tien Puk-sun and Paul Tse Wai-chun, the Kwok brothers, Raymond, Thomas and Walter, who run Sun Hung Kai Properties, and action star Jackie Chan.

Only accountancy lawmaker Kenneth Leung is sounding the alarm, saying the revelations are shocking and has urged the tax authorities to follow up.

But probably even more outrageous is the laid-back attitude of the Inland Revenue Department. The commissioner Wong Kuen-fai said the department would follow up, but said that not all off-shore firms are involved in tax evasion.

Would it not hurt to just check?

... so is Executive Council member Bernard Chan...

In the past five years, reports of evasion and avoidance have increased 25 percent to 1,900 cases, but the number of probes by the Inland Revenue Department fell from 1,920 to 1,800.

There are also fewer investigators working on cases, from 257 in 2001-2002 to 240 in 2014-2015, but strangely the budget for the department has jumped in the same period from HK$168.6 million to HK$213 million.

With the revelations of Hong Kong having so many off-shore companies set up by Mossack Fonseca, one would think the authorities would like to clean house and also try to get more taxes the city is entitled to.

Will Inland Revenue investigate possible cases of tax evasion?

But no, the Inland Revenue Department doesn't seem to care much, if at all... why investigate their bosses and powerful tycoons?

If one wants to find a sign of Hong Kong declining, that's one of them. Why even bother having rule of law at all if people with the means aren't enforcing them?