Hong Kong company formation

Hong Kong remains one of the most practical places in Asia to incorporate. A private limited company can be formed with a single director and shareholder of any nationality, with no minimum capital requirement and no obligation for directors or shareholders to be resident locally.

What every company does need is a company secretary and a registered office address in Hong Kong. Both are included for the first year in each package below.

• One director and one shareholder is sufficient, of any nationality, with no residency requirement.
• No minimum share capital and no restriction on foreign ownership.
• Two-tiered profits tax — 8.25% on the first HKD 2 million of assessable profits and 16.5% above that.
• No capital gains tax, no withholding tax on dividends, and no VAT or GST.
• Territorial taxation — profits sourced entirely outside Hong Kong may in principle fall outside profits tax, subject to the Foreign-Sourced Income Exemption regime introduced in 2023, which requires genuine economic substance and, for in-scope passive income, an application to the Inland Revenue Department.
• Annual obligations — an Annual Return (Form NAR1) with the Companies Registry and renewal of the Business Registration Certificate with the Inland Revenue Department, every year.