GENERAL INFORMATION
Hong Kong was established as a Special Administrative Region of the People's Republic of China on 1 July 1997. It has a well-established legal system based on common law, the rule of law and an independent judiciary.
Hong Kong is the premier financial centre in Asia and one of the top-tier international financial centres in the world. It has its own stock exchange the HKE which is part of the HKEx Group which operates the securities and derivatives markets and is the frontline regulator of listed companies in Hong Kong. The HKEx Group also owns the London Metal Exchange (LME) in the UK, the world's premier base metals market it also an equal joint-venture partner with the Shanghai Stock Exchange and Shenzhen Stock Exchange in China Exchanges Services Company (CESC), which is registered and incorporated in Hong Kong. CESC aims to contribute to the further internationalisation of China's capital markets and provide global investors with exposure to the world's second largest economy.
The Hong Kong Monetary Authority (HKMA) is the government authority in Hong Kong responsible for maintaining monetary and banking stability.
Other basic facts: | Time zone | Greenwich Mean Time +8 |
Official language | Chinese. English is also officially recognised and Cantonese is the regional language. | |
National currency | Hong Kong Dollar (HKD) |
KEY CORPORATE FEATURES OF HONG KONG PRIVATE LIMITED COMPANIES
| SHARE CAPITAL | |
| Permitted currencies | Major international currencies |
| Standard currency | HK$. Share capital can be in one or more currencies |
| Minimum issued capital | One (1) |
| Usual authorised capital | N/A |
| Par / nominal value | N/A |
| DIRECTORS | |
| Minimum | One (1) |
| Natural person | At least one (1) |
| Corporate director | Allowed, provided there is at least one natural director |
| Local directors requirements | No |
| Location of meeting | Anywhere |
| Minimum numbers of meetings | Per Articles of Association |
| Publicly accessible records | Yes |
| SHAREHOLDERS | |
| Minimum | One (1) |
| Bearer shares | No |
| Corporate shareholders | Allowed |
| Local shareholders requirements | No |
| Location of meeting | Anywhere |
| Minimum number of meetings | One (1) annually |
| Publicly accessible records | Yes |
| COMPANY SECRETARY | |
| Minimum | One (1) |
| Requirements | A company secretary of a Hong Kong private limited company must be a Hong Kong resident or company |
| REGISTERED OFFICE | |
| Requirements | Local registered office in Hong Kong |
| ACCOUNTS | |
| Preparation of accounts | Yes |
| Audit requirements and filing | Yes |
| Publicly accessible records | No |
| ANNUAL REQUIREMENTS | |
| Annual return | Yes |
| Tax Filing | Companies must file their annual tax teturn within one month from the date of notification from the HK Inland Revenue Department. Companies can request for an extension, if needed |
| TAXATION | |
| Corporate tax | Commencing from the year of assessment 2018/19 Assessable profits:
|
| Foreign-sourced income | Hong Kong follows a territorial system of taxation. Taxes are only levied on income derived from or arising in Hong Kong and not on foreign sourced income, even if the profits arising abroad are remitted into Hong Kong |
| Capital Gains Tax | None |
| GENERAL | |
| Legal system | Common Law |
| Corporate redomiciliation | No |
| Double taxation treaty access | Yes |
| Exchange control | No |
| Shelf companies available | Yes |
The information in this document is not advice of any kind but general information only and should not be relied on as legal advice. Kensington Trust Group recommends seeking professional advice on legal or tax issues affecting you before relying on it. While Kensington Trust Group tries to ensure that the content of this document is accurate, adequate or complete, it does not represent or warrant, express or implied, its accuracy, correctness, completeness or use of any of the information. Kensington Trust Group does not assume legal liability for any loss suffered as a result of or in relation to the use of this document. To the extent permitted by law, Kensington Trust Group excludes any liability for negligence, for any loss, including indirect or consequential damages arising from or in relation to the use of this document.