🍓 Why Hong Kong is Conceptually Better Than Other Jurisdictions for Business
- Very few taxes
- Fast registration - 5 working days
- No requirements for physical presence in Hong Kong
- Low company maintenance costs
- Fully remote management of the company and bank account
- International business prestige
- Political neutrality
- A trading company is suitable for any type of activity, no need for a business license for operations
🍓 Taxes, Reporting, and Audit
- VAT: 0%
- Dividend tax: 0%
- Corporate tax on profits from activities outside Hong Kong: 0%
- Corporate tax on profits from activities inside Hong Kong: 8.25% on profits up to HK$2 million (approximately US$250,000), 16.5% on any subsequent profits
- Profit is considered earned in Hong Kong based on the presence of: a Hong Kong office, a Hong Kong counterpart, or employees from Hong Kong. If none of these criteria are met, profits are considered to be earned outside of Hong Kong
- The auditor handles all tax reporting submissions
- Only scanned bank statements from the company’s accounts need to be provided to the auditor
- No need for accounting services
🍓 Costs and Timing
- Company registration in Hong Kong costs US$1,900, including a virtual office and corporate secretary services for 1 year;
- Annual company maintenance includes two components:
- Office renewal and corporate secretary (up to US$1,000 per year)
- Audit (ranging from US$2,400 to US$6,000 per year)
🍓 Banking
Opening a bank account in Hong Kong is only possible with substance in Hong Kong, which results in losing tax benefits. Therefore, we offer banking options outside of Hong Kong:
- Mainland China (Bank of China, CZCB): A universal option, including for trade with Russia;
- Switzerland (CIM Bank): Premium banking for international companies with beneficiaries outside Russia;
- United Kingdom (Equals): Reliable and affordable operational banking for international companies;
- Offshore banking (EQI Bank): For cryptocurrency operations and indirect settlements.
🍓 Cash-in
- Sale of goods and services (VAT-free)
- Loans from directors, shareholders, and third parties
- Sale of shares and issuance of bonds
- Shareholder contributions to the company’s capital
- Sale of cryptocurrency
🍓 Cash-out
- Director’s expenses, client entertainment (including hotels and restaurants)
- Advertising expenses (including GoogleAds without 20% VAT)
- Dividends
🍓 Assets
- Any currencies, cryptocurrencies
- Company shares, client debts
- Gold
- iPhones, MacBooks, furniture, art objects
- Cars, yachts
- Real estate (including rentals anywhere in the world)