Hong Kong journalist group slams ‘tax review on 20 reporters, groups’

Hong Kong authorities have reviewed the taxes of at least 20 reporters and their family members for allegedly under-reporting their income and have asked them to prepay about HK$1 million (US$127,770), the city’s largest journalism group has said, arguing there was insufficient evidence for the reassessments.

The Hong Kong Journalists Association also said on Wednesday that the Inland Revenue Department’s moves had inevitably placed extra stress on the reporters and media organisations in a challenging environment, negatively affecting press freedom.

According to the association, at least 20 journalists had been reviewed by the department for salaries tax, profits tax or rates, and were asked to pay around HK$1 million. After applying to the department for “holding over”, or postponement of payment, they were still required to hand over about HK$90,000.

The association and seven media platforms also had their profits tax and salaries tax reviewed. They were initially asked to pay around HK$700,000 and then about HK$300,000 after applying for holding over.

The group argued that the assessments and the audits were not started based on sufficient information, evidence or reasonable grounds.

For instance, in some cases, the department had treated all bank transactions – including money transfers – as income and had accused an individual of under-reporting income by citing a business registration number not belonging to him or her, it said.