PH, Hong Kong Begin Double Taxation Treaty Talks to Boost Economic Ties

The Philippines and Hong Kong have officially started negotiations on a Comprehensive Agreement to Avoid Double Taxation (DTA), a move aimed at boosting investment and fostering economic collaboration between the two jurisdictions.

According to the Bureau of Internal Revenue (BIR), Commissioner Romeo Lumagui Jr. led the Philippine delegation, while Hong Kong’s Inland Revenue Department Commissioner Benjamin Chan Sze-wai headed the SAR team. The first round of negotiations took place from May 21 to 23 at the Inland Revenue Centre in Kowloon.

The talks focused on reducing tax barriers for businesses and individuals operating in both areas. Key topics included mechanisms to avoid double taxation, tax relief measures, and structures for cooperation between the Philippine and Hong Kong tax agencies.

“We recognize the importance of this agreement in encouraging growth, investment, and transparency,” said Lumagui, adding that the BIR is committed to finding a win-win solution that benefits both parties.

While progress was made, both sides agreed that additional discussions are needed to resolve remaining issues. A second round of negotiations will be scheduled at a mutually convenient time.

The DTA aims to provide tax certainty, improve international tax compliance, and support long-term business operations across borders.