[9], Some political analysts thought that there was an urgency to make an agreement because there were fears that without a treaty the economy in Hong Kong would collapse in the 1980s. "[43] After the law went into effect, the British government announced Beijing breached the Joint declaration:[44]. Agreement between the UK and Hong Kong for the avoidance of double taxation. ", "Does China Think the Sino-British Joint Declaration Is Void? [6] The first formal negotiations began with chairman Deng Xiaoping of the Central Military Commission during the visit of the Prime Minister of the United Kingdom, Margaret Thatcher, to China in September 1982.[6]. This file may not be suitable for users of assistive technology. [48], On 12 November, British government accused Beijing breached the declaration, the third time since Hong Kong handover, after 4 pro-democracy MPs in Legislative Council of Hong Kong disqualified:[49]. ", "The Government of the [HKSAR] will be composed of local inhabitants. The Sino-British Declaration of 1984 set the terms of the British handover of Hong Kong in 1997. The double tax treaty in place between Hong Kong and the United Kingdom regulates the taxation system used for individuals who are residents of one of both countries and derive income from their activities in these jurisdictions. The agreement is effective in Hong Kong from 1 April 2011 and in the UK from: Don’t include personal or financial information like your National Insurance number or credit card details. Although discussions on the future of Hong Kong had started in the late 1970s, the final timing of the Joint Declaration was more affected by property and economic factors rather than geopolitical necessities.[9]. UK scraps extradition treaty with Hong Kong over China’s crackdown in territory. In an emergency parliamentary debate about the unprecedented ban, the chairman on the committee Richard Ottaway revealed that Chinese officials consider the Joint Declaration "now void and only covered the period from the signing in 1984 until the handover in 1997. There is no U.S. Hong Kong Tax Treaty. The Double Taxation Agreement entered into force on 20 December 2010. 28 Jul 2020; 5 min read; Why in News. (CNN) The UK will suspend its extradition treaty with Hong Kong "immediately and indefinitely" due to the controversial national security law … Chinese and foreign nationals previously working in the public and police services in the government departments of Hong Kong may remain in employment. The Basic Law explains that in addition to Chinese, English may also be used in organs of government and that apart from the national flag and national emblem of the PRC the HKSAR may use a regional flag and emblem of its own. So, Mr Speaker, today, I have the depressing but necessary duty to report to the House that the enactment of this legislation, imposed by the authorities in Beijing on the people of Hong Kong, constitutes a clear and serious breach of the Joint Declaration. ", "The current social and economic systems in Hong Kong will remain unchanged, and so will the life-style. [original research], During the Umbrella Revolution in 2014, a campaign against the perceived infringements in the HKSAR by mainland China, the Joint Declaration is considered "void" by China, inferred for the first time by Chinese officials according to a British MP. The United States has income tax treaties with a number of foreign countries. Each part has the same status, and "The whole makes up a formal international agreement, legally binding in all its parts. UK Suspends Extradition Treaty with Hong Kong. The extradition treaty means that, if someone in Hong Kong is suspected of a crime in the UK, then the British authorities can ask Hong Kong to hand them over to face justice - and vice versa. We’ll send you a link to a feedback form. The transfer of sovereignty of Hong Kong (referred to as the "return" or "handover" by the Chinese and British press respectively) occurred as scheduled on 1 July 1997. ", "The [HKSAR] will be vested with executive, legislative and independent judicial power, including that of final adjudication. This constitutes a serious breach of the Sino-British Joint Declaration on Hong Kong and undermines the principle of “One Country, Two Systems” which assures Hong Kong residents of the protection of the Hong Kong legal system. After the declaration, the Hong Kong Act 1985 and the Hong Kong (British Nationality) Order, 1986 created the category British National (Overseas). [43], International treaty regarding the handover of Hong Kong from United Kingdom to China, Joint Declaration of the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the People's Republic of China on the Question of Hong Kong, Zhōnghuá Rénmín Gònghéguó zhèngfŭ hé Dà Búlièdiàn jí Běi Ài'ěrlán Liánhé Wángguó zhèngfŭ guānyú Xiānggǎng Wèntí de Liánhé Shēngmíng, Jūngwàah Jàhnmàhn Guhngwòhgwok jing fú wòh daaih bāk liht dīn kahp bāk oi yíh làahn lyùhn hahp wòhng gwok jing fú gwāan yū heùng góng mahn taìh dīk lyùhn hahp sīng mìhng, PRC's basic policies regarding Hong Kong (Annex I), Sino-British Joint Liaison Group (Annex II). Any who were ineligible for PRC citizenship and who had not applied for BN(O) status automatically became British Overseas citizens. Furthermore, it agreed to a network of bilateral agreements between Hong Kong and other countries. We also use cookies set by other sites to help us deliver content from their services. But, even though the U.S. and Hong Kong do not have a bilateral tax treaty in place, if a U.S person (Citizen, Legal Permanent Resident or Foreign who meets the Substantial Presence Test) with Hong Kong Assets and/or income may have to report to the IRS. The U.S. must not watch from the sidelines", "China accuses UK of gross interference over Hong Kong citizenship offer", "National security legislation in Hong Kong: Foreign Secretary's statement in Parliament", "Identification of Foreign Persons Involved in the Erosion of the Obligations of China Under the Joint Declaration or the Basic Law", "Joint Declaration of the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of People's Republic of China on the Question of Hong Kong", "Foreign Secretary declares breach of Sino-British Joint Declaration", "House of Commons Hansard Debates for 02 Dec 2014 (pt 0001)", "Explainer: What is the Sino-British Joint Declaration and what does it have to do with Hong Kong's extradition crisis? Boris Johnson urges democratic progress in Hong Kong", "30 June 2017 外交部发言人陆慷主持例行记者会 — 中华人民共和国外交部", "China says legally binding Hong Kong handover treaty with Britain has 'no practical significance, "China attacks Boris Johnson over 'incorrect' views on Hong Kong", "What is the Sino-British Joint Declaration? You can change your cookie settings at any time. In 1841, China ceded the … Military forces sent by the Central People's Government, stationed in HKSAR, for the purpose of defence shall not interfere in the internal affairs in the HKSAR. It came into force when the instruments of ratification were exchanged on 27 May 1985, and was registered by the Chinese and British governments at the United Nations on 12 June 1985. Some Chinese authorities, including legal scholar Rao Geping, reject the continuing legal effect of the Joint Declaration upon the Basic Law. After the handover, most former BDTCs became citizens of the People's Republic of China. [32][35] However, Chinese officials have warned against foreign interference and have accused British officials of harboring a colonial mindset. [45] Xia, Zhang, and Luo were specifically accused of "issuing statements asserting its authority to supervise Hong Kong’s internal affairs in contradiction to the Basic Law and the Sino-British Joint Declaration", in reference to the roles of their respective offices. Principal officials will be nominated by the chief executive of the [HKSAR] for appointment by the Central People's Government. British and other foreign nationals may also be employed to serve as advisers or hold certain public posts in government departments of the [HKSAR]. The Sino-British Joint Declaration is a treaty signed between the United Kingdom and China on Hong Kong under Chinese sovereignty. But the entry into the HKSAR of persons from other parts of China shall continue to be regulated in accordance with the present practice. version of this document in a more accessible format, please email, 2010 Hong Kong-UK Double Taxation Agreement - in force, Agreement between the UK and Hong Kong for the avoidance of double taxation, Coronavirus (COVID-19): guidance and support, Transparency and freedom of information releases, 6 April 2011 for Income Tax and Capital Gains Tax. Britain suspended its extradition treaty with Hong Kong and blocked arms sales to the former British territory after China imposed a tough new national … The United Kingdom has announced the suspension of its extradition treaty with Hong Kong, a former colony it handed back to China in 1997. British rule over Hong Kong dates to the 19th century, when Hong Kong island was ceded to Great Britain by China after the first Opium War in 1842. Concerns about land ownership in the leased New Territories also added to the problem. The Sino-British Joint Declaration is a treaty signed between the United Kingdom and China on Hong Kong under Chinese sovereignty. [51] A senior Hong Kong legal scholar claimed this inference as "clearly wrong", and the British foreign secretary rejected this inference, noting that the document was "a legally binding agreement that must be honoured". Johnson restated Britain's commitment to Hong Kong is enshrined in the "treaty" that was "just as strong today" as it was 20 years ago. Britain invaded the Chinese mainland and occupied the island of Hong Kong on Jan. 25, 1841, using it as a military staging point. The government of the HKSAR is responsible for the maintenance of public order. In the wake of Governor MacLehose's visit, Britain and the PRC established initial diplomatic contact for further discussions of the Hong Kong question, paving the way for Thatcher's first visit to the PRC in September 1982. As a co-signatory, the UK government is committed to monitoring its implementation closely." [24][opinion], Wu Bangguo, the chairman of the National People's Congress Standing Committee stated in a conference in Beijing 2007, that "Hong Kong had considerable autonomy only because the central government had chosen to authorize that autonomy". The treaty stipulates that when an individual or company produces one or more of these types of income the amount will only be taxed in the country where it was produced. In April 1984, the two sides concluded the initial discussion of these matters, and arranged that Hong Kong would retain a 'high' degree of autonomy under Chinese sovereignty with the preservation of the maintained lifestyle in Hong Kong. ", "UK says China's security law is serious violation of Joint Declaration on Hong Kong", Text of the Sino-British Joint Declaration, https://en.wikipedia.org/w/index.php?title=Sino-British_Joint_Declaration&oldid=1007164996, Treaties of the People's Republic of China, Articles containing Chinese-language text, Pages using collapsible list with both background and text-align in titlestyle, Articles with minor POV problems from June 2019, All articles that may contain original research, Articles that may contain original research from July 2020, Articles with failed verification from July 2020, Creative Commons Attribution-ShareAlike License. This Group was an organ for liaison and not of power, where each side could send up to 20 supporting staff members. LONDON (Reuters) - Britain on Thursday said China had broken its main bilateral treaty on Hong Kong by imposing new rules to disqualify elected legislators in … The signing of the Joint Declaration caused some controversy in Britain because UK's Conservative Party Prime Minister Margaret Thatcher was agreeing with the China's Communist government represented by Deng Xiaoping. [53], In June 2020, after the passing of the National Security Law, which introduced new legislature to Hong Kong, BBC and Reuters reported that certain crimes listed in the bill were seen by critics as curtailing freedom of expression[54] and a major violation of the Sino-British Joint Declaration, without naming or providing any specific section or article from the laws themselves. The chief executive will be appointed by the Central People's Government on the basis of the results of elections or consultations to be held locally. Post boxes were repainted green, as per the practice in China. The HKSAR may authorise designated banks to issue or continue to issue Hong Kong currency under statutory authority. In response, China's foreign ministry spokesperson Zhao Lijian told Britain to "step back ... otherwise there will be consequences" and said, "There is no single word or clause in the Sino-British joint declaration that entitles the UK to any responsibility for Hong Kong after its return. [36][37][38], In August 2019, US Vice-President Mike Pence urged China to respect Hong Kong laws amid Hong Kong protests and the China-US trade war. Recently, the UK government has suspended its extradition treaty arrangements with Hong Kong, in response to China's introduction of a new security law in the territory.. After signing of the declaration, the Sino–British Joint Liaison Group was set up according to the Annex II of the declaration. The Double Taxation Agreement entered into force on 20 December 2010. "[26], In 2016, Caroline Wilson, who was the British Consul-General to Hong Kong and Macao, said the Causeway Bay Books disappearances was a violation of the Joint declaration. The U.S. follows a worldwide income tax model. Throughout the early 1980s the territory and its business community grew concerned about the future of Hong Kong. [8] As a result, the two sides discussed possible measures besides continued British administration, and came up with the concept of Hong Kong as a Special Administration Region of the PRC. In May and June 2020, the British expressed opposition to China implementing a Hong Kong national security law that would go against the terms of the Declaration[original research]. By 1979, China had restored its political order and became more assertive in neighboring affairs, notably intervening in Vietnam in 1979. Tax treaties and related documents between the UK and Hong Kong. We use some essential cookies to make this website work. On 3 September 2019, US Senator Marco Rubio wrote in an opinion piece[42] for the Washington Post: Most obviously, the Chinese Communist Party is preventing the city’s government from acting with the autonomy that Beijing had promised it in a legally binding 1984 international treaty with Britain, under Hong Kong’s Basic Law, and in China’s diplomatic outreach to the United States and other nations. The Chinese government also declared its basic policies regarding Hong Kong in the document. Within those agreements were reached on the continued application of about 200 international conventions to the HKSAR after 30 June 1997. Beijing’s imposition of new rules to disqualify elected legislators in Hong Kong constitutes a clear breach of the legally binding Sino-British Joint Declaration. It is partly mentioned in the summary above and deals in detail with the way Hong Kong will work after 1 July 1997. Asia: China Reminds Hong Kong Who's Boss", "China says British complaints over Hong Kong visit ban 'useless, "THE SIX-MONTHLY REPORT ON HONG KONG, 1 JULY TO 31 DECEMBER 2015", "Hong Kong Special Administrative Region 20th anniversary: written ministerial statement", "Video: UK Foreign Min. [1] Signed on 19 December 1984 in Beijing,[2] the declaration describes the sovereign and administrative arrangement of Hong Kong after 1 July 1997, when the lease of the New Territories was set to expire according to the Convention for the Extension of Hong Kong Territory. China lost the war and had to cede Hong Kong to Britain in the Treaty of Nanking. Preparations for Hong Kong’s return to China began in the 1980s. LONDON (Reuters) - Britain on Thursday said China had broken its main bilateral treaty on Hong Kong by imposing new rules to disqualify elected legislators in … The Government of the United States of America and the Government of the People's Republic of China, in accordance with … The Joint Declaration requires these basic policies to be written in the Hong Kong Basic Law. – The city’s pro-Beijing government is pushing a bill through the legislature that would allow extraditions to any jurisdiction with which it doesn’t already have a treaty — including mainland China for the first time. [39], One of five points agreed at the issue of the 45th G7 summit was that:[40]. Ref: ISBN 9780101817523, Cm. An international agreement of this kind is the highest form of commitment between two sovereign states. [5] These concerns, regarding the status of property rights and contracts, were spurred by political uncertainty surrounding the scheduled reversion of the New Territories to the PRC. It should also assist the HKSAR to maintain and develop economic and cultural relations and conclude agreements on these matters with states, regions and relevant international organisations and could therefore set up specialist sub-groups. The British government announced that if the Chinese went ahead with it, the UK would extend the British National (Overseas) rights of 3 million Hong Kong residents (all those born before the transfer of sovereignty) and open a route for them to become British citizens. ", "The [HKSAR] will retain the status of a free port and a separate customs territory. The Chinese authorities obliged and the Hong Kong court's judgment was overturned, stopping the potential immigration. [original research] It is also essential in determining the Hong Kong courts' jurisdiction in issues related to PRC domestic legislation. Furthermore, this declaration regulates the right of abode, those of passports and immigration. Hong Kong – UK Double Tax Treaty. Another senior official advised businessmen not to do business with pro-independence Taiwanese. From 1 July 1988 onwards it was based in Hong Kong. The G7 reaffirms the existence and importance of the Sino-British Joint Declaration of 1984 on Hong Kong and appeals for avoidance of violence. This annexe is called the Elaboration by the government of the People's Republic of China of its basic policies regarding Hong Kong. Those cardholders can also get a passport of the HKSAR, which is valid for all states and regions. ", "China's new law: Why is Hong Kong worried? [9] In the White Paper that contained the Joint Declaration, it was declared by Her Majesty's Government that "the alternative to acceptance of the present agreement is to have no agreement", a statement meant as a rebuttal to criticisms that the declaration had made too many concessions to China, and hinting at China's significant leverage during the negotiations. [23], With this and other changes,[23] ten years after the return, in 2007, The Guardian wrote that on the one hand, "nothing has changed since the handover to China 10 years ago", but this was in comparison to the situation before the last governor Chris Patten had introduced democratic reforms three years before the handover. On 14 October 2020, the United States Department of State released a report in which the Secretary of State Mike Pompeo, in consultation with the Secretary of Treasury Steven Mnuchin, concluded that 10 individuals materially contributed to or attempted to materially contribute to the failure of the China to meet its obligations under the Sino–British Joint Declaration and Hong Kong's Basic Law, naming Xia Baolong, Zhang Xiaoming, Luo Huining, Carrie Lam, Teresa Cheng, Erick Tsang, Zheng Yanxiong, Eric Chan, John Lee, and Chris Tang. It shall maintain the capitalist economic and trade systems previously practised in Hong Kong. As a result, Hong Kong became a … During the First Opium War, China cedes the island of Hong Kong to the British with the signing of the Chuenpi Convention, an agreement seeking an end to … Its functions were. The Sino-British Joint Declaration consists of eight paragraphs, three Annexes about the Basic Policies regarding Hong Kong, the Sino–British Joint Liaison Group and the Land Leases as well as the two Memoranda of the two sides. Whether the Declaration has practical effect after the transfer of sovereignty of Hong Kong is disputed by China, which said it is a "historical document that no longer had any practical significance", while the UK said that it is a "legally valid treaty to which it was committed to upholding".[3]. During the following discussions, where the Governor of Hong Kong took part in every round of formal talks as a member of the British delegation, it became clear that the continuation of British administration after 1997 would not be acceptable to China in any form. 8175 PDF, 307KB, 29 pages. Tax Treaty Negotiations with the United Kingdom (September 1st, 2011) Tax Treaty Negotiations with the Government of the Hong Kong Special Administrative Region of the People's Republic of China (May 19, 2011) Entry Into Force of the Tax Agreement Between … [7] By 18 September 1984, both sides had approved the English and Chinese texts of the documents and the associated Exchange of Memoranda. Hong Kong should also continue to participate in various international organisations after the handover. "The [HKSAR] will be directly under the authority of the Central People's Government of the [PRC and] will enjoy a high degree of autonomy, except in foreign and defence affairs." This commission was established in 1985 and met in Hong Kong for 35 formal meetings and agreed on 26 legal documents, within the granting of the land required for the new airport at Chek Lap Kok in 1994. In accordance with the "one country, two systems" principle agreed between the UK and China, the Hong Kong Special Administrative Region (HKSAR) would not practise the socialist system in mainland China, and Hong Kong's existing capitalist system and way of life would be unchanged for 50 years until 2047. [50][failed verification] The difference affects the level of authority that the PRC has in making any changes to the Basic Law, and the extent of Britain's continuing oversight role. Following the ongoing crackdown by Beijing on pro-democracy activists in Hong Kong, UK politicians have rightly called out the EU for rewarding China with an investment treaty, but going forward UK parliamentarians time would be better spent reviewing the UK’s own investment treaty which leaves much to be desired. Furthermore, a Land Commission shall be established with equal number of officials from the Government of the United Kingdom and the Government of the PRC which was dissolved on 30 June 1997. Hong Kong Treaty. [27] Foreign Secretary Philip Hammond echoed the Counsul-General by stating the breach of Joint declaration in The Six-monthly Report on Hong Kong:[28]. At the time of the lease signing, Hong Kong Island had already been ceded to the UK in perpetuity under the Treaty of Nanjing in 1842 after the First Opium War, and the southern part of the Kowloon Peninsula as well as the Stonecutters Island had also been ceded to the UK in perpetuity under the Convention of Beijing in 1860 after the Second Opium War. It claims that it is "shameful" and "ridiculous" for the United States to "interfere with China's internal affairs" with such a document. Additionally, "the Central People's Government will not levy taxes on [it]. For example, in 1999 the government of the HKSAR asked China's State Council to seek an interpretation by the National People's Congress Standing Committee on a provision in the Basic Law. These concerns briefly subsided after 1967 as mainland China was thrown into disarray with the Cultural Revolution, while the corresponding Hong Kong 1967 leftist riots resulted in a loss of native Hong Kong support for returning to PRC rule, and brought international sympathy to the side of the British colonial government. The annexe consist of following sections: Annex II set up the Sino–British Joint Liaison Group. A chance for democracy had been lost as Hong Kong had just begun to develop three vital elements for a western-style democracy (the rule of law, official accountability and a political class outside the one-party system) but the Sino–British deal had prevented any of these changes to continue according to Jonathan Fenby of The Guardian. The UK has no sovereignty, no power to rule and no power to supervise Hong Kong after the handover. These reduced rates and exemptions vary among countries and specific items of income.If the treaty does not cover a particular kind of income, or if there is no … Street names have remained unchanged and the Royal Hong Kong Yacht Club has kept its "Royal" prefix, although the Hong Kong Jockey Club and other institutions have given up this title. Those basic policies will be stipulated in a Basic Law of the Hong Kong Special Administrative Region in the PRC by the, Mark, Chi-kwan. That means that U.S. persons are taxed on their worldwide inc… [25], In 2014, against the backdrop of Umbrella Revolution, the British Foreign Affairs Select Committee was banned by China from entering Hong Kong on their planned visit in December as part of their inquiry into progress of the implementation of the Sino-British Joint Declaration. One of the main achievements had been to ensure the continuity of the independent judiciary in Hong Kong, including agreements in the areas of law of Merchant Shipping, Civil Aviation, Nuclear Material, Whale Fisheries, Submarine Telegraph, Outer Space and many others. In the Joint Declaration, the Chinese government stated that it would resume the exercise of its sovereignty over Hong Kong (including the British territories of Hong Kong Island and Kowloon, and the leased New Territories) from 1 July 1997, and the British Government declared that it would hand over Hong Kong to China on 1 July 1997. China appeared to dramatically consign Britain’s responsibility to Hong Kong to history on Friday by saying a treaty signed by Margaret Thatcher which … Between 1985 and 2000 the Joint Liaison Group held 47 plenary meetings whereof 18 were held in Hong Kong, 15 in London and 14 in Beijing. A protestor waving the US and Hong Kong colonial-era flags The agreement signed in 1984 was set to last until 2047. : 2: Ireland introduced the Universal Social Charge ("USC"), a new tax imposed on total income, with effect from 1 January 2011. [23], Pressures from the mainland government were also apparent, for example in 2000, after the election of pro-independence candidate Chen Shui-bian as Taiwan's president, a senior mainland official in Hong Kong warned journalists not to report the news. Protesters attend a rally against a controversial extradition law proposal in Hong Kong on June 9, 2019. [26][52] Rita Fan, then Hong Kong's only representative to the Standing Committee of the National People's Congress in Beijing, asserted that Britain's supervisory responsibility had lapsed and, furthermore, that the Joint Declaration does not stipulate universal suffrage. Order a copy. The treaty was signed by Chinese Premier Zhao Ziyang and UK Prime Minister Margaret Thatcher on behalf of their governments. The laws currently in force in Hong Kong will remain basically unchanged. During this visit, informal talks about the future of Hong Kong began. Note: 1: Please click here for the Agreement between the Hong Kong Special Administrative Region and Georgia for the Elimination of Double Taxation with respect to Taxes on Income and on Capital and the Prevention of Tax Evasion and Avoidance. National unity and territorial integrity shall be upheld and a Hong Kong Special Administrative Region shall be established. [22], Despite this autonomy, the government of the Hong Kong Special Administrative Region sometimes sought interference from the Central Chinese government. The third paragraph lists the PRC's basic policies regarding Hong Kong: The Government of the United Kingdom will be responsible for the administration of Hong Kong with the object of maintaining and preserving its economic prosperity and social stability until 30 June 1997 and the Government of the PRC will give its co-operation in this connection.