How can a registered Hong Kong company file tax returns?

The registration of Hong Kong companies is an important step for domestic enterprises to invest in and connect with the international market. Hong Kong limited company setup services are so popular not only because Hong Kong is an important financial center in the world, but also because of its low tax rate and simple tax system.

How can a registered Hong Kong company file tax returns?

1. Tax requirements under the companies act of Hong Kong

Hong Kong adopts the 'local origin' principle, whereby Hong Kong residents are not liable to tax on profits made abroad; Non-hong kong residents are liable to tax if they derive profits from Hong Kong

2. Major taxes in Hong Kong

Salaries tax: tax paid by the taxpayer on income earned by working in Hong Kong.

Profits tax: tax paid by the taxpayer on profits derived from conducting business in Hong Kong.

Property tax: tax paid by a taxpayer to hold and lease a property in Hong Kong for profit.

3. Zero tax filing for Hong Kong companies

A Hong Kong company's zero tax return must meet the following conditions:

· the Hong Kong company has not purchased any property in Hong Kong;

· no bank account is opened, or there is no money flowing in or out of the bank account;

· not operating any business.

If the Hong Kong company does not meet the conditions of zero declaration, but look zero tax declaration, once the Hong Kong check, need to assume a fine high hk $50,000, in addition to the tax payable three times, the board of directors is blocked list, the account is closed, etc..

4. Accounting and tax preparation time and process of Hong Kong company

Companies will receive the first tax return issued by the tax bureau about 18-20 months after the establishment of the company (tax returns received annually after the first time can be extended), and begin to file tax returns as soon as they are received. For the first time, the company shall select the annual closing date according to the date of establishment. Generally, it will choose March 31 or December 31 as the annual closing date, because only these two days can the company apply for an extension to the tax bureau (the extension time is 8 months).

Hong Kong corporate tax return process: enterprise accounting - accountants do auditor report - submitted to the Hong Kong government assessment.

5. Information required by the Hong Kong company for accounting and tax declaration

(1) to provide the bank statement (original), all bank statements and correspondence during the accounting period;

Provide various sales invoices and cost invoices;

(3) provide all kinds of expense invoices: office expenses, operating expenses, wages and so on

(4) if the use of cash for a variety of trading activities, need to provide a variety of sales and procurement invoices, and indicate that the cash transactions to ensure the integrity of the bill is accurate.

Although Hong Kong's tax system is simple, the whole process of accounting and tax declaration requires the professional and reasonable operation of experienced and qualified accountants. Therefore, it is very important to choose the service providers of Hong Kong business formation service .

For more information about the advantages of ‘How can a registered Hong Kong company file tax returns?’, please visit JV Consultants Limited (http://www.jvchk.com).