Hong Kong as your QROPS Jurisdiction

At 17% Hong Kong’s tax rates are low enough that it can be regarded a tax haven.

Hong Kong additionally does not levy capital gains tax.

Questions on Hong Kong as your QROPS Jurisdiction

1. Is Income Drawdown Available?

   • Yes.
   • Income is not subject to UK GAD rates.
   • Income is paid gross.

2. What is the Maximum amount of lump sum available at normal retirement age?

   • Any payments are subject to trustee discretion.

3. How is the pension payable calculated?

   • Actuarial tables and Modern Portfolio Theory.

4. What happens if the client dies before retirement (during the first 5 years of non-UK residency)?

   • 100% of fund by-passing Probate to dependant.

5. What happens if the client dies before retirement (after 5 years of non-UK residency)?

   • 100% of fund by-passing Probate to dependant.

6. What happens if the client dies after retirement (during the first 5 years of non-UK residency)?

   Post retirement pre 75

   • Return of fund less 35% tax charge.
   • or a spouse’s/dependant’s pension could be paid.

   Post retirement post 75

   • Return of fund less tax charge up to 82%.
   • or a spouse’s/dependant’s pension could be paid.

7. What happens if the client dies after retirement (after 5 years of non-UK residency)?

   • 100% of fund by-passing Probate to dependant.

8. What are the tax rates on taking a pension if the client is resident in the same jurisdiction as the QROPS?

   • 0% tax.

9. What are the tax rates on taking a pension if the client is resident outside of the jurisdiction of the QROPS?

   • No Hong Kong tax but there may be taxes in the country in which the client is resident.