Why you choose Hong Kong to create an Offshore Company?
Reason for setting up in Hong Kong:
* General Advantages
- Easier for funds raising via the capital market in Hong Kong.
- Easier to obtain trade finance.
- Limited liability. The risks of running a business could not affect the personal wealth of the shareholder.
- Separate legal entity. Company assets and the Shareholder’s assets are independent.
- Enjoy continuity.
- Inland Revenue will not ask for the “source of funds” for sales/purchase of a property hold by a limited company.
- Bankers and suppliers have more confident for a Limited Company registered in Hong Kong.
- As a gateway to China and as a regional hub in Asia.
- Less business restriction.
- Small capital requirement HK$10,000.
- Well established legal system and rules of law for shareholders’ protection.
- Preferential consideration would be given to business visa by the Immigration Department when applies under a Hong Kong limited company.
- Easy to incorporate.
* Tax Advantages
- Scheduler tax system and no total income concept.
- Territorial source concept and no residence concept.
- Direct assessment.
- Low tax rate, limited to standard rate.
- No tax on dividend income.
- No capital gain tax and no tax on capital gain.
- Husband and wife treated as 2 independent persons.
- No withholding tax.
- Provisional tax assessment system.
