General Information Profit Tax - Hong Kong
1st tax filing request
- If our company is the register address and company secretary, the request will be sent to us;
- We'll advise client about the request :
- Advise about the deadline;
- Advise possible annual financial year end to use - usually using 31/3 each year;
- Seek client approval whether appoint us to handle the work;
- Collect info about business operation - to determine how to handle the filing;
- Collect info about business operation
- One of the key info to clarify is whether client has any business activity started yet in HK;
- Considering HK adopts territorial concept of tax, no tax is payable if there is totally no business activty in HK;
- Of course, the tax rule adopts tax jargon and it is written in legal terms.
- If need to have thorough reading of the exact info,
Please read this tax concept ;
- If need to have general idea, the testing criteria will be :
- Any operational office in HK ?
- Any staff hired in HK ?
- Any customers located in HK ?
- Any suppliers located in HK ?
- Any goods shipped into HK ?
- Audit report and offshore tax exemption application
- Audit report is about the numbers - to calculate how much profit or loss is generated;
- Tax exemption is focus on how the business is operated - to see whether the income is earned in HK;
- Duty to keep proper accounting record
- No matter how the tax filing is handled, it is always a company's duty to keep proper record of all income and expenses;