PolyU Online Workshop - Taxation in Mainland China and HK

The online workshop named “Taxation in Mainland China and HK” organized by KTEO, PolyU on 30^th Mar 2023. Mr. Maurice Saeung (Head of Compliance of a Hong Kong listed company) was the guest speaker and he discussed the ins and outs of taxation in Mainland China and Hong Kong. The workshop aimed to introduce tax-efficient corporate structures for HK/China cross-border business, tax incentives and practical issues, as well as tax issues related to stock awards and share options. 

Firstly, Mr. Maurice Saeung briefed the important of taxation to entrepreneur including tax expense reduction, reducing tax liability, avoiding incorrect tax filing and corporate image. Then he introduced some features of tax system in Hong Kong.

And then he raised an example that HK resident owned design studio providing product design services. The company income is design service fee and expenditures are salaries and software license fee to US. He compared the tax burden between Hong Kong and Shenzhen that HK is higher return on capital.

The second case is related to offshore profit that is not taxable in Hong Kong but China corporate income tax is imposed on worldwide profit. And the third case is business expansion and the additional funding from owner lending or HK angel investor.

The fourth case is owner received an offer from investor for purchase of 30% shareholding and purchase price at 20x PE. 

The last case is owner considering a share option scheme to incentivize his senior staff. The tax implications to employer and employee were discussed.

Finally, Mr. Maurice Saeung discussed the corporate structure for HK and China business in both service and production.

Lastly, he briefed the foreign source income exemption (FSIE) regime that effective from 1 Jan 2023, certain foreign source income if received in HK are deemed to be taxable income subject to profits tax, unless the conditions for tax exemption apply.

Reference:

KTEO - https://www.polyu.edu.hk/kteo/

20230323: PolyU Startup’s Guide: Setting up a company in Mainland China - https://qualityalchemist.blogspot.com/2023/03/polyu-startups-guide-setting-up-company.html

ANQ 2023 Spring Meeting

The Asia Network for Quality (ANQ) Spring Meeting of Certification and Education Committee (CEC) and Board Meetings were performed on 29^th and 30^th March 2023, respectively. The CEC committee meeting was held on 29^th Mar and we discussed the progress and achievement of ANQ Certified Quality Engineer (CQE) and Supervisor (CQS), as well as, reviewed the Body of Knowledge (BoK) on Service Quality. Group photo was taken for memory. 

We had reviewed the certificate template and the backside of certificate included all ANQ member organizations’ logo.

Finally, we discussed the Service Quality Framework. For CQE, many members suggested to add AI and Digitalization into the BoK.

On 30^th Mar 2023, ANQ Spring Board meeting was performed and I joined as observer. We took a group photo for memory at the end of the meeting.

In the beginning, Prof. Shu Yamada showed the meeting agenda and condolences to Dr. Nhon (VQAH).

We all silent for a minute.

And then Dr. Noriaki Kano was invited to give opening address. He remembered the preparatory meeting for ANQ establishment in Japan in 2002. Prof. Shu Yamada also attended the preparatory meeting.

After confirmation of all member organization representatives, CAQ reported the summary of the 20^th ANQ Congress 2022 in Beijing.

Then Ms. Nguyen Thi Hoang Lien (Chairlady, VQAH) introduced the ANQ Congress 2023.

Finally, Mr. GE Tan (Former Chairman, SQI) introduced ARE-QP Award and Asia Service Award.

The criteria of Asia Service Award were briefed.

Lastly, Prof. Shu discussed the by-law and financial status. We all are looking for to meet face to face in ANQ Congress 2023 in Vietnam. 

Reference:

ANQ - https://anforq.org/index.php

ANQ Congress 2023 - https://www.anq2023.org/

20220322: ANQ 2022 Spring Meeting - https://qualityalchemist.blogspot.com/2022/03/anq-2022-spring-meeting.html

Polyventures x HKAI Lab Webinar - AI Entrepreneurship and Career Opportunity

 The Polyventures x HKAI Lab Webinar named “AI Entrepreneurship and Career Opportunity” organized by Google Developer Student Clubs @ PolyU (GDSC) on 28^th Mar 2023. The first speaker was Mr. Jovian Ling (Co-founder of Set Sail Venture Ltd) for the session of Start-up Sharing: Set Sail Venture Ltd.

Firstly, Mr. Jovian Ling explained what is entrepreneurship and the different between your plan before startup and the reality of difficulty.

Then he shared his life up and down through 3 pivots and now assisted by HKAI Lab to grow his business.

After that he introduced his service in chatalog that employed ChatGPT.

Finally, he summarized seven functions using ChatGPT through digital assistant.

During Q&A, Mr. Ling shared the CRISPE Framework and discussed Meta-prompting idea.

Mr. Timothy Leung (Executive Director of HKAI Lab) was the second speaker and his topic was “Introduction of HKAI Lab Accelerator Programme”. He said AI/ChatGPT is the future. 

In the beginning, Mr. Timothy Leung briefed the industries AI, Functions AI and Roles of Al are servicing. 

Then he briefed the coverage of HKAI Lab’s incubates in different industries.

And then the impact of AI was discussed and some career opportunities of their startup including App Developer, AI Engineer, Data Engineer, Frontend Developer, Marketing Officer, AI Specialist, UI Designer, etc.

After that he quoted Mr. Kai-Fu Lee’s 4 Waves of AI from Internet AI to Business AI to Perception AI and then to Autonomous AI to discuss their servicing.

At the end, Mr. Timothy Leung introduced HKAI Lab and their coming accelerator program (application deadline on 19^th Apr 2023).

Reference:

GDSC - https://gdsc.community.dev/the-hong-kong-polytechnic-university/

chatalog - https://chatalog.ai/en/

HKAI - https://hongkongai.org/

I Ching and the Wisdom of Life (易經與人生智慧)

Minda and I joined Prof. Pang’s (彭泓基教授) introduction course for I Ching named “I Ching and the Wisdom of Life” (易經與人生智慧) and the first lecture held on 25^th Mar 2023. The course has four lectures. I would like to summarize some key points for sharing below. 

Firstly, Prof. Pang introduced the basic concept of Chinese culture. The key purpose is to learn to be man of honor (怎樣做人).

Then he explained what is wisdom. Wisdom in Chinese is separated into two characters. “智” related to decision making and “慧” is how to choose. 

And then Yin and Yang Transformation and the concept of “Change” and “Balance” were discussed.

After that Prof. Pang briefed the concept of “Tao” (道) and the principle of “I” (易道).

One of ancient concepts in Chinese culture is Five Elements (五行) and its generate and restrain each other (相生相克).

Prof. Pang also compared the different between Chinese culture and Western culture.

Finally, he explained the basic concept of “I Ching” and the word of “I” (易) that is combined sun and moon meaning the changing.

Then Trigrams (八卦) was introduced. 

Lastly, Trigrams expanded to Hexagram (六十四卦) were briefed. Time is flied and we will continue in next Saturday Morning class.

After the lecture 1 finished, I introduced HKSQ and World Alliance for Chinese Quality to Prof. Pang.

Reference:

Hong Kong Society for Quality (HKSQ) - http://www.hksq.org/index.asp

彭泓基教授 - http://www.cwmhk.org/speakers_3_1.html

彭泓基教授 - https://www.master-insight.com/author/penghongji/

屈機TV (屈基論) - https://www.youtube.com/@wgtvhk/playlists

Learning Organization Leadership (LOL) program: Lunch & Learn

In 2023, Asia Pacific Institute for Strategy designed Learning Organization Leadership (LOL) program that provides an effective learning platform to overcome ongoing challenges.

Dr. Mark Lee explained the objective and quarterly modules of LOL program and started in Feb 2023. The Leadership Modules are summarized below for sharing.

20230210: Part 1: Difference among Managers and Leaders

20230223: GPT vs ChatGPT

20230310: Part 2: Set a Direction and Align People

20230324: Part 3: Motivate People and The Art of Balancing

Part 1 (20230210)

Firstly, Dr. Mark Lee quoted Peter Drucker for responsibility of manager that “The productivity of work is not the responsibility of the worker but of the manager.” He concluded that management is for complexity.

And then he quoted Prof. John P. Kotter (Harvard Business School) that “Management is about coping with complexity. Leadership, by contrast, is about coping with change.” The key different between manager and leader is for “CHANGE”.

After that Dr. Lee surveyed our contribution in the percentages between management and leadership.

Finally, Dr. Lee summarized that managers and leaders are equally important but many cases are over-managed and under-led.

GPT vs ChatGPT (20230223)

In this week, Dr. Mark Lee invited Mr. Eric Moy (CEO of KBQuest) as guest speaker to introduce GPT and compared with ChatGPT.

Then Eric briefed why GPT is so disruptive because it could unlock many possibilities. 

GPT is not a new thing and its development from NLP since 2000. The first release of GPT model is in 2018.

After that he demonstrated some samples and found that GPT-3 dominated in English.

Finally, he introduced one of key concept named “Prompt Engineering”.

Part 2 (20230310)

Dr. Mark Lee continued to Part 1 and focused on set a direction rather than planning and budgeting.

As a leader, he explained the important on Vision and Strategy. He quoted Prof. Michael Porter that “At general management’s core is strategy: defining a company’s position, making trade-offs, and forging fit among activities.” He added if vision and goals are clear, staff would be more buy-in for change their minds frequency.

Then he discussed to align people rather than organizing people. So that move together in the same direction that communication is critical. 

Very good case quoted from Steve Jobs.

Part 3 (20230324)

Dr. Mark Lee stated the last part in the leadership module that motivating people rather than controlling and problem solving. Between complexity and change, we need to choose the right tactics at the right time.

Firstly, Dr. Lee surveyed us about motivating staff factors and found that Group B is more votes than Group A. Because Group B is Motivator Factors and Group A is Hygiene Factors. Change is the function of leadership but management like risk-free.

And then he employed UNIQLO as study case and identified 3 steps of motivation. They are “Stress the values of the audience”, “Provide Coaching” and “Recognize and Reward Success”. 

Finally, Dr. Lee discussed the art of balancing. He quoted Prof. Abraham Zaleznik (HBS) that “What it takes to develop managers may inhibit developing leaders.” He also quoted Prof. John P. Kotter that “The real challenge is to combine strong leadership and strong management and use each to balance the other.” The balance act survey result showed that most difficulties is to motivating and inspiring people. 

Reference:

LearnOrgs - https://www.learnorgs.com/

Asia Pacific Institute for Strategy Limited (亞太策略研究所有限公司) – www.apifs.org

ESG facebook - https://www.facebook.com/groups/esg08

Previous talks summary:

https://qualityalchemist.blogspot.com/search/label/Executive%20Study%20Group