TAXATION RELATING TO INVESTMENT IN REAL PROPERTY - SINGAPORE & HONG KONG

Abstract

Singapore and Hong Kong present certain similar characteristics in many areas. These include type of people, high population density (many of whom are skilled workers) and a large number of expatriates; both were former British Colonies (though Hong Kong continues to be so until 1997), and they have a low tax base. These two places have attracted a great deal of foreign investment by reason of one or more of the reasons mentioned above, especially the low tax base prevailing these two places. Over the years, especially the last two decades, there have been a great deal of property investment in these two territories. Investors, sometimes, have to choose whether to invest in Singapore or Hong Kong. The main aim of this dissertation is to examine the factor - tax, which influences the behaviour of prospective investors as to whether they should invest in Singapore or Hong Kong. In particular, this study examines which will be the better place to invest a large capital sum in real property. In considering this, a case study is carried out, taking into account the relevant factors that will influence an investor in making a decision.