Posted by
mamadavid
16 yrs ago
What's involved in setting up a company in Hong Kong? What would be tax liability for a company that ONLY did business with non Hong Kong based clients? Any advice appreciated
Please support our advertisers:
I don't see any difference in tax, but you should consult a tax professional about it. To start off, you first need to decide what type of company you are setting up... for example, sole proprietorship or partnership or limited company, etc.?
Mike SIA
Please support our advertisers:
Can anyone else help? Any recommendations on who can help me register my company and advise on taxation?
Please support our advertisers:
You can set up a company yourself - see the Companies Registry website http://www.cr.gov.hk/en/faq/faq01.htm#02. I assume you want to set up a limited company but you can find out all the information you need at http://www.cr.gov.hk/en/faq/index.htm. You can also hire a company that specializes in registering HK companies but as you are here in HK, I suggest you register the company yourself and save a lot of fees. Be sure to get all the information on compliance while you are at the Companies Registry so you know what to file annually.
If you need a nominee director or shareholder then you will need to go to one of those fiduciary services companies.
In general, HK tax is territory based so what matters is where the transaction is conducted and where the goods are shipped from. Just because your clients are not in HK does not mean your company doesn't have to pay tax - it depends where the income is sourced. This is extremely simplistic and general advice and you should see a tax advisor for an accurate assessment of your company's tax liability.
Please support our advertisers:
Thanks Denisiel. All this information is very helpful. Will look at the website. I would be providing a writing and editing service to clients based in France. I could set up a company in France, and the income would be tax free (because the work would be carried out outside the country), but setting it up would involve a lot of expense and hassle. Can you recommend a tax advisor?
Please support our advertisers:
I am pretty sure that if you are doing the work in Hong Kong through a HK company then you are liable for tax even if the clients are offshore.
I wouldn't recommend my tax advisor because your situation seems simple enough that you don't need a high priced advisor. Perhaps you should find your local HK accountant and auditor and ask their advice as you will need them anyway to file your first company accounts after 18 months.
Please support our advertisers:
Hi
Briefly, you are not liable to tax in Hong Kong if your source of income is generated overseas. For more information, please refer to DIPN no.21 and you could locate this information from the Inland Revenue Dept website. A-Swiss is a corporate services provider that could assist you to set up a company in Hong Kong. Please refer to our Advertisement under Company Secretarial for more information.
Please support our advertisers:
Ed
16 yrs ago
http://hongkong.asiaxpat.com/directory/business-financial-services/
Please support our advertisers:
You must be logged in to be able to reply.
Login now
Copy Link
Facebook
Gmail
Mail