The basic structure of Hong Kong's tax system is quite simple. Hong Kong has always implemented a simple tax system with fewer types of taxes and mainly direct taxes and the tax rate is lower than other countries.

 

Taxation is an important economic activity and obligation for business operations.  For companies to continue and develop, they must have a clear understanding of Hong Kong tax management and understanding, and should not be ignored.  Therefore, taxation management is very important for the successful companies.

 

Our professional team will first in-depth understanding of their business development and problems with our clients, and use the best tax incentives to assist our clients in formulating appropriate tax planning.

 

We can act as the tax representative of our clients and provide them with Hong Kong tax compliance services.

Advantages of Hong Kong Taxation:

• Simple tax management
  Tax administration in Hong Kong is very simple. Hong Kong is mainly direct tax, such as Profits Tax, Salaries Tax, Property Tax and Personal Assessment.
• The concept of geographical origin
  Hong Kong levies income tax on a regional basis, which means that only income generated in Hong Kong needs to be taxed. Hong Kong does not implement global income taxation like other countries.
• Low tax rate
  Hong Kong’s assessable profits tax rate is relatively low.  Under the two-tiered profits tax rates regime, the profits tax rate for the first $2 million of assessable profits will be lowered to half i.e. 8.25% for Corporations (mostly limited company) and 7.5% for Unincorporated Businesses (mostly partnerships and sole proprietorships). Assessable profits above $2 million will continue to be subject to the rate of 16.5% for Corporations and 15% for Unincorporated Businesses.

 

There are four main types of taxes in Hong Kong:

• Salaries tax
• Profits tax
• Property tax
• Personal assessment

 

Hong Kong does not have the following tax

• No Sales tax
• No Value added tax
• No Dividend tax
• No Capital tax