0

The lack of documentation on my situation is slightly infuriating, so hoping someone else in a similar position has got it figured out!

I moved to Hong Kong 6 years ago from the UK and started a few Hong Kong-registed companies. I now have no idea how to report back to the UK Student Loans Company (SLC) on student loan repayments. I've been placing myself as an employee for the past few years when my situation was a bit more straight-forward. I was employed by the company I own, as I was working on it full-time.

The difficulty is, I now own a few companies through a parent holdings company. The holdings company takes care of my living, and pays me a small dividend well under any thresholds of the SLC. I technically therefore have very little personal income.

My question - what is the right way to report this?

Edited due to lack of clarity, thank you comments!

2
  • 1
    What's SLC, for those of us who don't know how student loans in Hong Kong work?
    – littleadv
    Mar 11 at 8:48
  • 2
    Are these UK student loans? Mar 11 at 9:37

1 Answer 1

3

When you say the "holding company takes care of your living", I assume you mean they are paying bills like rent and other things on your behalf. In most jurisdictions that would count as taxable income to you, and also probably something you would need to declare to the SLC. If the holding company is also paying any taxes on your behalf (often called "grossing up") then that is also part of your income.

So the income to report to them is likely to be the total amount the holding company is spending on your behalf, plus the small dividend.

2
  • Thank you for the response, appreciate the help! Would I then be applying as "Self-employed"?
    – Anon
    Mar 12 at 3:59
  • I'd say the payments the company makes for you are salary (as "Employed") - that's likely how they fit into the tax system for example. Your dividends would go in the "Other income" section (looking at this PDF as an example of the kinds of questions they'll have) Mar 12 at 9:30

You must log in to answer this question.

Not the answer you're looking for? Browse other questions tagged .