Corporate Tax Filing and Tax Advisory Services in Hong Kong

Whether they are large companies, small and medium enterprises, limited companies, unlimited companies, or one-person companies, all companies in Hong Kong are obliged to file tax returns and pay profits tax.

One Success’s professional accounting team provides annual tax filing services for Hong Kong companies, covering accounting, audit arrangements, preparation, and financial statement submission.

We analyze the clients’ businesses and design tailored, legitimate tax avoidance plans to help SMEs concentrate their resources on business development.

Peace-of-mind Tax filing services for Hong Kong SMEs

Hong Kong has a simple tax system. The major taxes that SME owners and employees face include profits tax, salaries tax, and property tax. The Company’s shareholders, directors, and employees will have to follow different requirements of tax return filing. One Success helps you sort out all the fuss and find out the best ways to reduce taxes. Our tax filing and tax advice services cover the following areas:

 

Be the tax representative for clients

Prepare tax returns for limited companies and unlimited companies

Prepare tax returns for shareholders, directors, partners, employees, and self-employed workers

Provide tax consultation and advisory to reduce the tax payable by companies or individuals legitimately

Apply for revision and objection to tax assessment

Apply for holdover of provisional tax

Apply to the Inland Revenue Department for a Certificate of Resident Status

Answer clients' tax-related questions and assist them in handling tax document sent by the government

Filing Profits Tax Returns

The Inland Revenue Department issues profits tax returns to corporations and business owners based on the company’s nature. We use our professional knowledge and experience to help customers complete and submit tax returns and prepare necessary documents. The three major types of profit tax returns include:

  • Profits Tax Return – Corporations (BIR51)
  • Profits Tax Return – Persons Other Than Corporations (BIR52)
  • Profits Tax Return – In Respect Of Non-Resident Persons (BIR54)

Company directors and business operators may receive other types of tax returns. If you are unclear about how to file the documents, please contact One Success, and we do it for you. Some common types of tax returns include:

  • Individuals Tax Return (Form BIR60)
  • Property Tax Return for Jointly Owned Properties (Form BIR57) 
  • Property Tax Retun for Corporations or Bodies of Persons Owned Properities (Form BIR58)

FAQs About Hong Kong Corporate Tax System

Need Help on Your Tax Return Filing?

What is the profits tax rate in Hong Kong?

The Inland Revenue Department started a two-tiered profits tax rate in 2017. A company’s first 2 million’s taxable profit is 8.25%, and the subsequent profits tax rate is 16.5%.

When does a limited company have to submit a tax return?

Newly registered limited companies usually receive their first profits tax return in the 18th month after incorporation and then receiving it once a year. Most companies receive the profits tax return issued by the IRD in early April every year.

Do I need to prepare an audit report before submitting my company's tax return?

When a company submits a tax return, it must also attach a financial statement audited by a third-party certificated accountant. One Sucess offers accounting, audit arrangements and tax filing services for Hong Kong companies in a one-stop manner. Contact us for service details and quotations.

What is a provisional profits tax?

The Inland Revenue Department levies profits tax based on a company’s actual profits during the fiscal year. Since they cannot determine the amount before the end of a fiscal year, the authority will first collect the provisional tax. The provisional tax collected will then be assessed and used to settle profits tax in the following year.

Can a Hong Kong company apply for a holdover of provisional tax?

Companies can apply for the holdover of provisional tax within 14 days after the tax payment notice is issued. One of the common reasons for holdover is the expectation of income decline in the following year. Companies must provide relevant proofs to support their claim. Please contact One Success to learn more about the details.

Can SME owners use personal assessment to reduce tax liability?

Under some circumstances, SME owners can use personal assessment to achieve tax reduction. For instance, a one-person company has a business loss, but the owner has other salary income, then he can use the loss to offset the tax payable on salary income. Multiple factors such as the annual income and tax allowance will affect the effectiveness of tax reduction through personal assessment. Reach out the One Success, and our accounting team will help you calculate the most favourable tax filing method.

What are the consequences for companies being late in paying taxes?

If a company fails to file a profits tax return before the deadline without reasonable excuses, or delays paying taxes, it may be fined or even prosecuted. The specific penalties vary depending on the severity of the case, and the consequences can be severe.

Contact One Success

One Success Secretarial Services Limited

Unit B, 14/F, 77-87 Wang Lung St, Tsuen Wan, Hong Kong

+852-3521 0192

+852 6011 9574

info@onesuccess.com.hk