Basic requirements for Hong Kong companies
Any company incorporated in Hong Kong
will need to observe the corporate compliance requirements
. They include requirements for the management of the company as well as the annual filing and reporting obligations.
A company in Hong Kong must:
- have a local registered address;
- have a resident secretary;
at least one shareholder
, no nationality requirements but above 18 years of age;
- have an appointed auditor (applicable for most companies);
- notify the Companies Registry of any change in the company;
- keep the following documents at the registered office at all times: Incorporation Certificate, Business Registration Certificate, Articles of Association, updated financial records, company seal, share certificates.
Annual filing and reporting in Hong Kong
Apart from the basic corporate requirements
, companies in Hong Kong
must also observe the annual fling and reporting requirements with the Companies Registry. These requirements are described in the Company Law
and failure to observe the deadlines for filing results in penalties.
Local companies and Hong Kong branches must file the following documents every year with the Inland Revenue Department and the Companies Registry
- the annual return: contains information about the authorized share capital, the company directors and secretaries as well as the shareholders;
- the annual tax return: it is a report of the net income of the company; to it the company will also attach the balance sheet, the auditor’s report and the profit and loss account.
Business records in Hong Kong
Any business in Hong Kong and even individuals carrying on a trade or profession must keep business records of their income and expenditure. These documents are to be kept for at least 7 years and noncompliance with this requirement results in penalties. The following documents must be kept:
- books with recordings of receipts, payments, income and expenditure;
- books for assets and liabilities;
- books for cash receipts and cash expenditures;
- records for purchased goods;
- records for trading stock.
Other records may be necessary according to your type of business. For more information about the requirements for running a company in Hong Kong
as well as details for the associated maintenance costs you can contact our Hong Kong company formation consultants