How to quickly open an offshore in Hong Kong 2022: procedure
Starting a business in Hong Kong is simple, safe, and free of red tape. The authorities allow 100% foreign ownership of shares of companies. Income received outside of Hong Kong is not taxed, there is no currency control. It is possible to open an offshore in Hong Kong by registering a company from scratch or by purchasing a ready-made enterprise. In the first case the process will take at least a month, in the second - a few days.
How to open an offshore company in Hong Kong
It's difficult to open a company in Hong Kong on your own, so we advise you to contact a licensed agency - representatives of IT-OFFSHORE. Experienced specialists will help you gather a package of documents and go through all the stages of registration.
Opening a company in Hong Kong consists of the following steps:
- Choosing a company name, getting approval in the Registry of Companies;
- Submission of application and registration documents to the Registrar of Companies;
- Opening a corporate account. Most banks require personal presence of the business owner, we will recommend you the right options;
- Registration with the Internal Revenue Service, after which a certificate of business registration is issued.
The above procedures take about a week. If a license is needed, one has to apply for it within a month after registering the business. It is also necessary to contact the tax authorities and follow the aforementioned steps.
Documents for offshore opening
To open an offshore in Hong Kong, you must provide the following documents:
- A copy of the owner's passport;
- Certificate of residence dated not later than 3 months;
- Statement of personal bank account for the last month or a recommendation from the bank;
- Articles of Incorporation.
Other documents may be required and must be provided.
How to become an offshore company in Hong Kong
Incorporation of a business in Hong Kong is not yet offshore. In order for a company to get such a status, you must apply to the Department of Inland Revenue. Application for offshore status is made after the filing of the tax return - 18 months after the registration of the new company.
For the regulator to recognize the company as offshore, you must pass a test that proves that it meets these requirements:
- Does not have personnel or headquarters in Hong Kong;
- Does not conduct commercial activities in the jurisdiction;
- Does not use any local services;
- Has evidence that it earns profits outside the jurisdiction (e.g. transactional certificates);
- Director does not live in Hong Kong longer than 60 days in the tax year.
To pass the test, you must prepare documents (clear accounting records, business contracts, etc.) related to commercial and business activities.
How long an offshore status lasts
Offshore registration in Hong Kong 2022 takes from 4 to 6 months. Offshore status must be renewed every 3 years. The regulator must again submit an application and documents that confirm that the company has not changed the occupation, source of income, has the right to be considered offshore.
Annual audit, following the results of which an audit report is drawn up, will help provide the proof. It is also important to keep documentation of all business transactions that prove income outside of Singapore.
How to buy a ready-made offshore company
If you want to get right down to business, you can buy a ready-made company in Hong Kong. This is what they call a registered company that has never worked anywhere, and therefore has a clean history. It has all the documents, permits, statuses, so you can quickly start working without wasting time on registration procedures. We have a database where you can find the right option to start a business in Hong Kong 2022. We take care of all the paperwork.