Bascially, Hong Kong companies are only required to pay profits tax annually, if any tax payable. The profits tax rate for the first $2 million of profits is 8.25% and profits above that amount will continue to be subject to the tax rate of 16.5%; for unincorporated corporations in sole proprietorship or partnership, the two-tiered profits tax rate is 7.5% and 15%. If the company is not profitable, there is no need to pay profits tax.
Generally, 31 March to 31 December of each year for the basis period of taxation is general Hong Kong Company's year ended but not compulsory.
Actually, the date can accord to the companies choice. Moreover, Hong Kong company has maximum 18 months for the first year's basis period of taxation.
Generally imported/exported commodities need not be levied tariffs, except tobacco, liquor and petroleum. But import/export commodities must be declared at customs.
Donation granted to recognizable charitable organisation is permitted to be deducted,
but total donation as required shall not be less than $100 and not more than 35% of assessable profits.
Losses incurred in a taxable year can be carried forward and used to offset the profits of the company in subsequent years.
Profits Tax shall be levied according to the actual profits of the taxable year. Since the profits of one year shall be determined only after the end of year,
Inland Revenue Department will levy provisional tax before the end of that year. After the profits of relevant year are assessed in the following year, the provisional tax already paid can be deducted from the Profits Tax payable of this year.
Yes. Even if the company in Hong Kong only performs the role of collecting and paying for others, it shall be deemed as agency service business,
and its income shall be the commission for collection and payment for others.
No. According to Inland Revnue Ordinance, all Hong Kong company has the obligation to declare its financial condition to Inland Revenue Department,
no matter its business takes place in Hong Kong or not. When this company does not have its source of income in Hong Kong, it can apply the exemption from taxation.
One of the couple should apply for all child allowance.
Inland Revenue Department will consider their social and economic relations in Hong Kong, the objective factors referable of which include:
"Dependent parent allowance"(DPA) is subject to your parents' residence, ages and dependence for the application
When the dependent is always living in Hong Kong, aged 55 or above in this year, and given not less than $12,000 for a whole year,
they are entitled to apply for DPA.
You can call Inland Revenue Department 187 8088 or you can contact us for seeking the professional advise.
Incorporating a Hong Kong limited Company requires at least one natural person aged 18 or above acting as shareholder and director.
In additional, a Hong Kong address must be provided as a registered address and a Hong Kong resident or professional company must be act as the statutory secretary of the Company.
Yes. The Hong Kong Companies Ordinance has no restriction on the nationality of shareholder/director.
Generally, it will take 5 workdays but most shortest incorporation days is within 1 workday.
The nature of business must be reported by the company to the government within one month of its commencement.
According to the Hong Kong Companies Ordinance, limited company shall appoint a Company Secretary,
whose function is to be in charge of arranging meetings, keeping minutes of meetings, and presenting statutory documents to governmental department in order to ensure the company meets statutory requirements.
Hong Kong resident who are 18 years old or above, or Limited Company registered in Hong Kong is qualified.
You can appoint the other company to provide the relevant service, we can also provide it.
Bank will generally ask for the following documents:
Capital in Hong Kong is freely circulated without limitation and also come in and go out of Hong Kong, other than any limitation from each bank policy.
Yes. Generally, the banks only require account operator holding valid passport or travel permit and ID card.
Enterprise can open several accounts according to their needs, but every account has the same function and position.
Yes, but it is conditional upon the following:
Yes. The company still needs to submit the Annual Return until the Companies Registry notifies the company of its deregistration.
It will be fined. For late renewal of Business Registration Certificate, the company is subject to pay a fine of HK$300 every single year in additional to the payment of all outstanding government fees.
For late filing of an Annual Return, the amount of the fees or fine increases as shown below.
| Delivery Date | HK$ |
|---|---|
| Within 42 days after the anniversary of incorporation | 105 |
| More than 42 days after but within 3 months after the anniversary of incorporation | 870 |
| More than 3 months after but within 6 months after the anniversary of incorporation | 1,740 |
| More than 6 months after but within 9 months after the anniversary of incorporation | 2,610 |
| More than 9 months after the anniversary of incorporation | 3,480 |
Yes, we assist enterprises to apply for government subsidies in different stage, including BUD Fund, Technology Voucher, etc.
