Posted by
SweetSue
10 yrs ago
As a recently retired UK citizen with HK PR. Is there and what are the advantages of creating a limited company here in HK to transfer ownership to for personal properties owned here
Please support our advertisers:
There is (an advantage) for whomever charges you fees to set up this structure.
But possibly not for you.
What are you hoping to achieve?
Please support our advertisers:
Not a good idea at the moment because companies are treated as foreigners and you have to pay additional special stamp duty.
Before the SSD was introduced, owning rental properties through a company meant that they were treated as a business and you were taxed on a different basis than individuals. The main difference was the ability to itemise and deduct various expenses for tax purposes. If the tax savings on the additional deductions exceeded the costs of setting up and maintaining the company, then owning through a company made sense. Given the low tax rate here, you would need a reasonable amount of rental income to come out ahead. Putting one or two small flats into a company will cost you money.
Please support our advertisers:
You may be aware of the recent onerous stamp duty changes in Hong Kong.
In certain circumstances, you can move the property to your company without incurring stamp duty – what is the value of the flat? You might contact us with further information. The best starting point is an initial interview at a discounted rate of HK$2,800.
Weir & Associates
Solicitors & Notaries
16th Floor Tak Shing House
20 Des Voeux Road Central
Central
Hong Kong
Tel : 2526-1767
Fax : 2868-3568
Email : WeirLaw@WeirandAssociates.com
www.WeirandAssociates.com
Please support our advertisers:
You must be logged in to be able to reply.
Login now
Copy Link
Facebook
Gmail
Mail