Tips for businesses during the coronavirus outbreak | Article – HSBC VisionGo

By Charles Chan, Co-Chairman, SME Sub Committee, ACCA HK

Businesses in Hong Kong are suggested to observe the following areas during the coronavirus outbreak.

Regulatory compliance

Business contract management

Employment issue

Observe the employers’ obligations under the Employment Ordinance (including timely payment of salaries and wages despite challenging business environment).

Tax and stamp duty

Tax deduction of charitable donations

Corporations making donations to support those affected by the outbreak should take note of the following issues: (1) cash donations (which may be deductible up to 35% of the assessable profits) vs donations in kind (which are not deductible under the tax law) and (2) whether the donations are made to tax-exempt charities so that they are approved charitable donations eligible for tax deduction. 

Immigration and work visa requirements 

With the outbreak of the novel coronavirus, it is advisable for all Hong Kong businesses to react swiftly and come up with an action plan to address the potential issues.