Family Council welcomes "The Chief Executive's 2024 Policy Address"
The following is issued on behalf of the Family Council:
The Family Council (Council) welcomes the initiatives on promoting good family values in "The Chief Executive's 2024 Policy Address" delivered by the Chief Executive, Mr John Lee, today (October 16).
The Chief Executive mentioned in the "The Chief Executive's 2024 Policy Address Supplement"that the Home and Youth Affairs Bureau (HYAB) will co-operate with the Council to organise the Hong Kong Excellent Family Awards and continue the implementation of the Funding Scheme on the Promotion of Family Education to subsidise non-profit-making community projects in promoting family education.
The Chairperson of the Council, Ms Melissa Pang, said, "I am pleased to note that the Government continues to promote the healthy development of families in Hong Kong, advocating good family values and reinforcing work in relation to family building, family education and family values through different channels to enhance family and social harmony. The Council will actively discuss with the HYAB on the relevant details of the activity in due course."
The Council also supports the initiatives to enhance women's development as announced in the Policy Address, including establishing a network run by leading women from all walks of life and launching a mentorship programme, "She Inspires". Under the progamme, female university students will be paired with mentors from the senior management of different sectors. Related training and activities will also be provided. Ms Pang hoped that the relevant initiatives will enable young females to pursue their career and contribute to the development of the country and Hong Kong society.
The Council was established in 2007. It is committed to publicising the culture of loving families through organising various promotional activities. The Council has also been promoting the three sets of family core values, namely "Love and Care", "Respect and Responsibility" and "Communication and Harmony" in the community.
Inland Revenue (Amendment) (Tax Deductions for Leased Premises Reinstatement and Allowances for Buildings and Structures) Bill 2024 to be gazetted
The Inland Revenue (Amendment) (Tax Deductions for Leased Premises Reinstatement and Allowances for Buildings and Structures) Bill 2024 will be gazetted on October 18. The Bill seeks to implement two profits tax enhancement measures in the 2024-25 Budget, which include introducing a tax deduction for expenses incurred for reinstating the condition of premises under a lease to their original condition, and removing the time limit for claiming annual allowances in respect of industrial/commercial buildings or structures.
Under the Bill, if a lessee is obligated to reinstate or pay for the reinstatement of his/her premises to their original condition at the end of the lease term or on early termination of the lease, and the relevant costs have been incurred and are reasonable, the lessee can claim tax deduction for the relevant costs.
Furthermore, currently a qualifying taxpayer may claim an annual allowance in respect of the expenditure incurred on the construction of an industrial/commercial building or structure during a specified period (usage period). If the building or structure is sold before the expiry of the usage period, the buyer may claim annual allowances over the remaining years of assessment within the usage period. However, if the building or structure is sold after the expiry of the usage period, the buyer will not be entitled to claim any annual allowance even if there is residue of expenditure. The Bill proposes removing the time limit for the relevant claims in order not to discourage the purchase of old or second-hand buildings or structures. If a building or structure is sold in the basis period for a year of assessment beginning on or after April 1 this year, the buyer will be entitled to claim annual allowances until the residue of expenditure has been fully claimed, regardless of whether the usage period of the building or structure concerned has expired.
A Government spokesman said, "The two enhancement measures will alleviate the tax burden of taxpayers and promote the business environment. As reinstatement costs generally represent a small part of a taxpayer's turnover, it is envisaged that the proposed tax deduction would not impact on government revenue. Regarding the removal of the time limit for claiming annual allowances for buildings or structures, based on the statistics for the year of assessment 2022/23, it is expected that it will reduce the annual government revenue by about $164 million."
The Bill will be introduced into the Legislative Council for first reading on October 30 with a view to implementing the above measures in the year of assessment 2024/25.
