Bank accounts can be opened for Hong Kong companies in various currencies with recommended banks which have given us Business Partner awards. Interest paying savings accounts may be multi-currency in ten or more currencies. Banks in Hong Kong are highly confidential and unauthorized disclosure is forbidden. As there is no exchange control in Hong Kong, local bank accounts can serve as transit centers for the transfer of funds between different countries. Foreign currencies may be deposited and withdrawn in the same currency without conversion to Hong Kong dollars. Purchase and sale of any currencies if needed are subject to the most competitive bank exchange rates. Bank interest is not subject to tax in Hong Kong.
Assistance is provided for opening and servicing Hong Kong company investment accounts for securities, bonds, options, precious metals, etc. An international network of brokers allows us to offer a wide range of facilities and services in Hong Kong and overseas. Capital gains and dividends are tax-free in Hong Kong.
Since many Hong Kong companies engage in trading activity, we provide assistance in contacting suppliers and buyers, handling shipment of goods, invoicing and letters of credit. Offshore income–where shipments do not enter Hong Kong–is exempted from Hong Kong tax even if profits are booked in Hong Kong. Salaries received by overseas employees of Hong Kong companies are not subject to Hong Kong tax. Corporate tax is 16.5% and is levied on local income only.
Hong Kong companies may hold overseas or local real estate, companies, stock, etc. to protect owners from estate tax, divorce settlements or other attachments. Properties can be changed hand easier and cheaper by transferring the shares of the holding company. Many of our overseas clients use Hong Kong companies to hold their properties in Hong Kong.
Overseas commissions, books or mineral rights, consultation fees, rental fees, interest, dividends, etc. can be received in the name of a Hong Kong company tax-free. Such income can be remitted into Hong Kong for deposit or held elsewhere.
Since Hong Kong is one of the leading trade centers in the world, many Hong Kong companies are used for re-invoicing purposes (“triangle”). The Hong Kong company buys goods from one country to be resold to another country at a profit which will be tax-free as the goods are shipped directly between the two countries. Our shipping department has a team of experienced professionals to handle letters of credit and other trade documentation in the most efficient manner.
√ ANTI-MONEY LAUNDERING & TERRORIST FINANCING
We will not serve any clients with any intention of using companies to launder money from criminal source or to finance terrorist activities. In cooperation with the worldwide governments’ effort to fight money laundering and terrorist financing, we and the banks have to follow the KYC (know your customers) policy per due diligence compliance with our clients, and be informed of their legitimate source of funds and the purpose of the payments (supported by relevant proof such as invoices, agreements, etc.), which must not be related to any activity that may be in violation of any anti-money laundering or counter-terrorist financing laws. Clients can be declined by us if they are incompetent or not cooperative to comply with the same.