Under Article 108, how does the HKSAR practise taxation?
Answer and explanation
Correct answer: B. It practises an independent taxation system
Article 108 says the HKSAR shall practise an independent taxation system and formulate its own tax laws.
Answer: It practises an independent taxation system.
Why not the others: It remits all taxes to the Central Government: Article 106 says the HKSAR does not hand over taxes. It follows mainland tax rates: it makes its own tax policy. It levies no taxes: it does levy taxes.
Answer: It practises an independent taxation system.
Why not the others: It remits all taxes to the Central Government: Article 106 says the HKSAR does not hand over taxes. It follows mainland tax rates: it makes its own tax policy. It levies no taxes: it does levy taxes.
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