Shipowners In Hong Kong Welcome Canadian Moves To Offer Tax Incentives

Moves by Canada to offer tax incentives to Hong Kong and other shipowners have been welcomed even though the colony is establishing its own independent maritime registry.

The Canadian plan, which was outlined recently in Vancouver, British Columbia, would allow shipowners in Hong Kong to operate in Canada without having international earnings liable to Canadian tax.

Michael Farlie, executive director of the Hong Kong owners' group, said: "Other authorities are planning similar steps. We expect Singapore to do so very soon.

Among the distinct advantages Singapore has are geographical proximity, a Chinese society and well-established transport and telecommunications bases.

In what is seen as an insurance policy against China's takeover of Hong Kong in six-and-a-half years, a great many Hong Kong people have established residence in Canada in the last few years, especially in British Columbia.

Since Hong Kong is an extension of British registry, something that must end before the 1997 change of control, final legislation creating an independent ship registry is expected soon, capping several years of industry and government work.

Other stories from April 1991 issue


Maritime Reporter

First published in 1881 Maritime Reporter is the world's largest audited circulation publication serving the global maritime industry.