How to open an offshore company in Hong Kong?

Studying offshore companies in order to open a company in them, Ukrainian businessmen undeservedly bypass Hong Kong. Officially, the territory is not an offshore, as its tax legislation differs from the tax legislation that offshore zones differ from other states. However, the autonomous status of the administrative region and the absence of the need to pay any taxes if all the profits received by the company were not earned on the territory of Hong Kong, became the reason why Ukraine unofficially added Hong Kong to the “white” list of jurisdictions. This list includes only those offshore companies that are ideal for tax optimization. That is, Hong Kong is not mentioned in the official list of offshore zones in Ukraine, but any Ukrainian entrepreneur has the opportunity to open an offshore company here, and thereby optimize tax expenses. It is important to know that bookkeeping, as well as the preparation of an annual report, is mandatory, and does not depend on whether the company operates in a given administrative region of the PRC, or outside the country.

Hong Kong is one of the leading financial centers in Asia and the world. In the administrative region of China, two official languages are Chinese and English.

Offshore companies in Hong Kong - advantages

• Simplicity of the company registration procedure. The need for personal presence is eliminated, documentation can be sent via the Internet. On average, it takes 2 weeks for the company registration procedure to be completed.
• The ability to choose any type of activity. The main thing is that the chosen type of activity is not prohibited by law. Importantly, some activities require a license.

No tax on any offshore income. There are also advantages for companies operating directly in Hong Kong itself. They have a low tax rate.

• No restrictions on choosing a bank to open an account. Like any official offshore, Hong Kong allows you to open bank accounts in any bank in the world, including on its territory. Importantly, Hong Kong’s banking system is highly stable. Also, a company can open several accounts in its name.
• Free movement of capital. Lack of control over investments from abroad and income.

When preparing documents for registering a company and choosing a name for it, you need to make sure that there is no company with that name in the Register. In Hong Kong, the coincidence of the name, as well as the similarity with the name of an existing company, is a reason for refusal of registration, even if all other requirements are 100% met. And it does not matter that the place of business of your company, for example, is Kyiv, and another company with the same name is New Zealand or Great Britain. There are a number of words that can be included in the name only after obtaining permission or a special license. For example, these are words such as asset management, municipal, tourist association, Kaifong, Chamber of Commerce, assurance, reinsurance, etc.

The main signs that the company does not do business in Hong Kong is that the discussion, conclusion, signing of the contract is carried out outside it, as well as the absence of company personnel on its territory. Hong Kong is included in the list of countries that strictly fulfill their obligations in the tax area. The total number of states with which Hong Kong has signed double tax treaties is more than 40. The network of tax treaties is regularly expanding. Interested in offshore, profitable from all points of view? We recommend that you look at Hong Kong. Many classic offshore companies are inferior to him in terms of economic freedom.

Hong Kong Corporate Law