setting up a charity in hk

hi

i want to set up a chairty in hk. To start with it will be primarily fundraising and will donate all money raised to other established charities. I spoke to inland revenue and the problem is that fundraisers are not classed as a charity whereas donating is.


Should i set it up as a corporation, trust, or what? please help.

Corporation and trust does not work. Those who give you the money wants tax break. If you cannot offer than, you will have a tough time selling.


Yes. It is always a problem getting the authority to believe that the organization you have is a charitbale organization. Please understands. If the authority is not strict, there will be crooks exploiting on it. I guess if you get very reputable figures in Hong Kong to co-manage the fund, you stand a better chance.

Most charities in Hong Kong are set up as companies limited by guarantees. In your Articles, state your charitable objectives. Once you established the company, you can apply with teh IRD for a tax exemption. You have to provide the background of your principals, stating the charitable work you've done, give them a budget for your charitable work, proposed projects for the year, etc. Once, it is approved, then you will get a number and can issue receipts to donors who can claim tax deductions. Good luck.

The choice of charitable body is interdependent upon the kind, nature and the charitable objects of the intended organization you are about to set up. A mechanism to allow a distribution to other charities is possible. Weir & Associates are well experienced in establishing pension, trusts and charities; we have assisted many clients to adopt the most appropriate vehicle to meet their short term and long-term goal at a reasonable price. Can you contact our Ms Chau at Tel. 2526 1767 extension 123 to fix an appointment for a meeting so that we can advise you on specific structures as to how best to pursue with this matter. Our charge for a conference is HK$2,500.


Weir & Associates

Solicitors & Notaries

2108 Gloucester Tower

The Landmark

15 Queens Road Central

Hong Kong

Tel: 2526-1767

Fax : 2868-3568

email : weirlaw@hongkonglaw.com

www.HongKongLaw.com/weirlaw