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Hong Kong: One country – 2 systems

 

This is not only true of Hong Kong in general, but the tax system is also based on this principle.

Companies registered in Hong Kong pay 16.5% tax on profits deriving from within Hong Kong.

Profits on income from outside the territory of Hong Kong (including profits from China) are exempt from tax.

Taking advantage of this principle of territorial taxation, it is possible to set up and operate a completely legal and internationally recognised tax-free company.

Further huge advantages of Hong Kong

  • high level of prestige;
  • one of the world’s major financial and trading centres;
  • part of a stable, strong country;
  • companies registered in Hong Kong can also open bank accounts locally (company and bank account in the same country);
  • the accounting and auditing requirements mean that Hong Kong is a transparent jurisdicition, accepted throughout the world. At the same time, thanks to the exemption from tax and the liberal deductions allowable for expenses, the funds in the company’s bank account can be used quite freely.

 

For more information please click here:

Offshore company formation in Hong Kong

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