Hong Kong Taxation

Hong Kong adopts a territorial source principle of taxation. Only profits which have a source in Hong Kong are taxable here.

Profits Tax Salaries Tax Property Tax Stamp Duty

Taxation Services

A company may arrange auditor assurance for special projects, such as:

  • Providing tax advisory and tax planning
  • Acting as tax representative (individuals or companies)
  • Filling the tax return, tax computation and declaration
  1. Profits tax
  2. Salaries tax
  3. Property tax
  • Applying for the extension of submission of tax return
  • Applying for holdover of provisional tax
  • Assisting for objection of tax assessment
  • Assisting for handling the tax queries from ird Assisting for applying the offshore income claims exemption

Should you have any inquiry about taxation service, please contact us and we will provide FREE consultation service.



1Hong Kong Taxation [1] : When will the new company receive the tax form?

  • The new company will receive its first profits tax return in the 18th month after its establishment, and the filing period is 3 months.

2Hong Kong Taxation [2] : If not a new company, when will I receive my tax form?

  • Generally speaking, the Inland Revenue Department will issue a Profits Tax Return in early April each year, and the filing period is 1 month. If the company has appointed a tax representative, the filing deadline will be automatically extended.

3Hong Kong Taxation [3] : Can the profits of a Hong Kong company offset the losses of the previous year?

  • Losses incurred in a year of assessment may be carried forward and set off against the company's profits in subsequent years.

4Hong Kong Taxation [4] : What are the restrictions on donation deduction under the Hong Kong Inland Revenue Ordinance?

  • Donations to accredited charities are eligible for deductions. However, the total amount of the required donation must be not less than $100 and not more than 35% of the assessable profits.

5Hong Kong Taxation [5] : A Hong Kong company only opens a bank account and collects and pays bills for other Chinese companies. Does this Hong Kong company need to do accounting, auditing and tax declaration?

  • Since the company is established for profit, even if the Hong Kong company only collects and pays for others, it should be regarded as an agency service business.

6Hong Kong Taxation [6] : Under what circumstances can a Hong Kong company be exempted from paying profits tax?

  • If the income of the enterprise is not derived from Hong Kong, and the company has not established an office in Hong Kong and recruited Hong Kong employees, the profits earned by it can be exempted from profits tax. However, it is necessary to apply to the Hong Kong Inland Revenue Department for tax exemption of offshore income.

7Hong Kong Taxation [8] : In which case will Hong Kong company be free from Profits Tax?

  • If the corporate profits do not arise from Hong Kong, and the company has not set up an office in Hong Kong nor hired Hong Kong employees, then its earned profits will be exempt from Profits Tax.