Emily Tsui

In November 2020, I used my income in the amount of HK$60,000 to buy company shares from the employee stock purchase plan. I got matching shares and free share in November 2020 when I bought the company shares. Also, I got dividend shares in the past 3 years during the frozen period. For the purchase amount HK$60,000, I paid income tax in 2020 to Hong Kong Tax Authority. I left the company in April 2021 and I moved to the UK in July 2022. In November 2023, these company shares, matching shares, free shares and dividend shares were unfrozen and I sold all these shares and left the plan. I am preparing the submission of the Self Assessment form for tax period 6 April 2023 to 5 April 2024 and I have the following questions: 1. For the company shares I bought in November 2020, as I already paid income tax for the amount of HK$60,000 to Hong Kong Tax Authority in 2020, do I need to pay Income Tax for this amount or Capital Gain Tax on the gain? 2. For the matching shares and free shares that I got in November 2020, all these shares were sold in November 2023 and I got a gain, should I include these for Capital Gain Tax or Income Tax? 3. For the dividend shares, I sold all these and also got a gain, should I include these for Capital Gain Tax or for Dividend Income Tax? Thanks in advance for your help on this. Emily

Thank you very much for your advices.

In 2020, I used my income in the amount of HK$60,000 to buy Partnership Shares from the employer's Share Incentive Plan. I paid the income tax for this amount HK$60,000 in 2020 to Hong Kong Tax Authority. In July 2022, I left the company and moved to the UK. In November 2023, these Partnerships Shares were sold (between 3 and 5 years from the date of acquisition). My question is, as I already paid income tax for this amount HK$60,000 to Hong Kong Tax Authority in 2022, do I need to include this amount HK$60,000 as income when I fill in the Self Assessment form for tax period 6 April 2023 to 5 April 2024. Thanks in advance for your help on this. Minty