Wednesday 13 February 2013

Offshore Company in Hong Kong – An Overview

Hong Kong is one of the major transnational centers. There is no “Offshore” legislation in Hong Kong. However, companies registered with British Virgin Islands (BVI) enjoys tax free status under certain circumstance this makes the companies similar to offshore companies. If the company is registered with BVI, do not make any business in Hong Kong then they are not liable to pay tax.

A Hong Kong based company can set up an office here as a cost center and pay no taxes to the government. For example, an outside company can set up it’s operational center in Hong Kong, and pay no tax, as long as it makes no income. If the company makes no business, then it is not liable to file any financial documents except a “No Business in HK” declaration form.

Hong Kong companies are at a benefit because there are not professed as “Tax Heavens”, the political conditions are stable, finance and banking is excellent, and there are no exchange controls. Apart from this, a Hong Kong based company can do business in any part of the world, and it’s not important that the Directors and Stakeholders are residents of Hong Kong.

However, they have to be in government’s list and privacy is provided by Maritime International Ltd. Apart from this, it’s important that the company needs to have a secretary who is a resident of Hong Kong.