The Hong Kong-Zhuhai-Macao Bridge is a landmark project of the Greater Bay Area development. (WANG JIAXIN / FOR CHINA DAILY)

HONG KONG - The Comprehensive Avoidance of Double Taxation Arrangement (CDTA) with Macao is now in force after the completion of the relevant approval procedures, the Hong Kong Special Administrative Region (HKSAR) government said on Thursday. 

The CDTA will bring about a greater degree of certainty on tax liabilities for those who engage in cross-boundary business activities

In a statement issued on Thursday afternoon, a government spokesman said the CDTA, signed in November 2019, will be in effect in Hong Kong with respect to taxes on income derived for any year of assessment beginning on or after April 1, 2021.

ALSO READ: Cross-boundary Wealth Management Connect will consolidate city’s global financial hub status

The CDTA will bring about a greater degree of certainty on tax liabilities for those who engage in cross-boundary business activities, and will help promote bilateral trade and investment activities, according to the statement.

Macao was the 19th largest trading partner of Hong Kong in 2019, it added. 

READ MORE: Bay Area set to propel tourism rebound post-pandemic