If your Hong Kong company has successfully applied for an offshore tax exemption in the past, you might think your tax-free status is set in stone. However, a common question we receive from business owners is: “Does a past acceptance letter from the Inland Revenue Department (IRD) guarantee that my offshore profits will remain tax-exempt… Continue reading Offshore Tax Audits: Does Past Acceptance Guarantee 0% Tax?
Can your Hong Kong company legally pay 0% tax? Discover how Hong Kong’s territorial tax system works, take our simple 3-question eligibility test, and learn the step-by-step process to successfully claim your offshore tax exemption.
In order to further develop the asset management and the related service industries, the Hong Kong Government on 17 July 2015 published in the Gazette, the Inland Revenue (Amendment) (No. 2) Ordinance 2015 (‘Amendment Ordinance’), under which the profits tax exemption for offshore funds shall be extended to private equity funds. Pursuant to the Amendment… Continue reading Profits Tax Exemption to Offshore Funds from Private Equity Funds
The OECD is currently working on a new proposal to further address the Base Erosion and Profits Shifting (“BEPS”) project. The BEPS project itself was launched to prevent multinational enterprises (“MNEs”) from the exploitation of gaps and mismatches in tax rules by artificially shifting profits from high to low or no-tax locations where there is… Continue reading The End of the Offshore Regime in Hong Kong?
Hong Kong adopts the territorial source system whereby only income arising in or derived from Hong Kong (referred as ‘onshore income’) is subject to profits tax pursuant to the general charging rule of Section 14(1) of the Inland Revenue Ordinance. In other words, income which is sourced outside Hong Kong (referred as ‘offshore income’) is… Continue reading Partial Offshore Tax Status in Hong Kong
For years, people have incorporated offshore entities for the benefit of asset protection, privacy or tax reduction. Although an offshore company is a popular vehicle for people to carry a business from, it is surprising to see how many people tend to mix up the concept of an offshore entity with the concept of an… Continue reading Offshore Company vs Offshore Income
The Hong Kong government plans to introduce a new tax scheme called the Tax Certainty Enhancement Scheme (“the Enhancement Scheme”), to enhance Hong Kong’s attractiveness as an international investment and business hub.
HKWJ Tax Law & Partners makes it easy to begin. From tax compliance and advisory to accounting, incorporation, and business support, our team delivers tailored solutions with confidentiality and care — helping you move forward with confidence.
Contact us to explore how we can support your business and personal needs.
Contact Us
