October 2023 - The Inland Revenue Bill for expanding the FSIE regime to cover asset disposal gains is published

In December 2022, EU updated its Foreign-sourced Income Exemption (“FSIE”) Guidance which requires that disposal gains to be subject to the economic substance requirement (“ESR”). Hong Kong is requested by the EU to further amend its tax treatments for foreign sourced disposal gains in compliance with the updated FSIE Guidance by the end of 2023 for implementation with effect from January 2024.