First, these profits or losses of the partnership are assessed according to the Hong Kong Inland Revenue Ordinance, Chapter 112, section 22.
The profits or losses of the partnership are assessed in one lump sum by the managing partner or agent.
[1] A partner is taxed according his or her share of the profits or losses generated by the partnership excluding partnership losses brought forward under section 19C.
[2] The partner's share in this partnership is governed by Inland Revenue Ordinance, Chapter 112, section 22B.
[3] Such contributions may also include the partner's share of the profits plowed back into the partnership.