Hong kong company formation ? Many benefits

[clemens]

Hong Kong Company Formation, whats the benefits to form a HK company, learn right here!


There is hardly any city in the world, which is not affected by the current economic crisis. Hong Kong ? the economic hub of Asia has also felt the aftershocks of this economic crisis. Thanks to the increased collaboration between China and Hong Kong, there has been increased recovery in the Hong Kong?s economy.


Other factors, which make Hong Kong an ideal place to do business, are listed as under:

• Many attractive business incentives
  
• free market principles,
  
• Political stability,
  
• Many tax incentives
  

Owing to all these incentives, Hong Kong has gained the reputation as Asia?s most popular city for international business. If you are thinking of starting a new business or if you are considering


moving your existing business to Hong Kong you need to look for information related to Hong Kong Company formation.


Learn more here

 

[pontiacG8]

I was considering HK for some months ago but read a lot of crap about it so I'm waiting to see what positive I can find before I will proceed.

 

[lavel]

Why would you do HK if you can find so many other jurisdictions where you don't need audited reports, accounting and all this stuff? Only thing that could let me do so is if I wanted to enter the Chinese market and I needed a real presence i.e. office building, staff and so on.

 

[firestorm]

I know a few reasons for why you would incorporate in Hong Kong


Hong Kong Corporate Tax Rate is 0% For Transactions Outside of Hong Kong.


For all transactions completed outside of Hong Kong, the tax rate is zero. That?s sweet. Keep in mind for Americans this doesn?t mean you don?t pay taxes. Americans must pay taxes on all income they earn from corporations, even if they are overseas. You need to keep track of how much money you earn from that corporation and ensure you pay personal income taxes on it. It?s complicated, but that?s the basic gist. Either way you?ll save on sales taxes and corporate taxes at minimum.


You Can Write Off More Expenses Against a Hong Kong Corporation.


I find the US tax code stingy in what one can write off against corporations. I feel I spend most of my time working towards the success of my enterprises. Because of this, it drives me crazy that the IRS doesn?t let me write off my commute as a business expense. How about that beer I bought a client? No. What about the apartment I stay in? I rented it because it?s close to the office! No.


Here is the straight shot? if you are set up in Hong Kong you can write off a great number of expenses against your corporation that the IRS considers ?personal.? This move alone could save you thousands annually.


There are many more reasons like globalization,recognized country for investments and the list goes on.

 

[JohnSeed]

I am very impressed in how much faith you have in keeping your money in the Chinese hands (HK)


At the end of the day, China is in charge in HK and they can change laws to take your money.


Cant you guys come up with a better option?


What was the country Arthur Anderson set up shop in?

 

[cosmo]

Yeah, sure.


If it's such a dangerous place to keep money, why is HK one of the world's largest and most important financial centres?


I guess all those CFOs of global banking institutions are idiots

 

[lavel]

I did quite a bit of research on this. I found Hong Kong is the best and Singapore comes second. Don't worry about people telling you it's risky and you will eventually get caught for tax fraud. Truth is, a company is a separate legal entity, resident in the country it is incorporated. If you open a company in Hong Kong, it is treated just like a Hong Kong citizen would be, for tax purposes, and would be governed by the fiscal laws of Hong Kong.


You don't have to try to hide the fact that you are a shareholder/director/owner of a foreign company from your government or anyone for that matter, since you are not doing anything illegal. As far as I know, there is no country with laws that prevent their citizens from being shareholders or directors of a foreign company.


When you try to bring the money inside your home country either as income from salary or dividend income, it becomes your personal income and you will have to pay taxes on that.

 

[tax-haven]

There is hardly any city in the world, which is not affected by the current economic crisis. Hong Kong ? the economic hub of Asia has also felt the aftershocks of this economic crisis. Thanks to the increased collaboration between China and Hong Kong, there has been increased recovery in the Hong Kong?s economy.
Other factors, which make Hong Kong an ideal place to do business, are listed as under:

• Many attractive business incentives
  
• free market principles,
  
• Political stability,
  
• Many tax incentives
  

Owing to all these incentives, Hong Kong has gained the reputation as Asia?s most popular city for international business. If you are thinking of starting a new business or if you are considering


moving your existing business to Hong Kong you need to look for information related to Hong Kong Company formation.


Learn more here

If you say so it may be true.. never really considered my HK company to be useful for anything.. sorry.!

 

[quickfix]

Naahhhh HK company is to complicated if you ask me. Also to many fees to be paid each year!

 

[suzy]

I've been looking much at the HK options for my business but can't really see any unless you look at the high maintenance fees!

 

[JohnLocke]

You can find lots of benefits by incorporating in HK there will also be some downside / disadvantge doing so. At the end of the day I say, it's my personal understanding of all of it, it depends on what business you are into and what it is your goals you try to archieve.

 

[alain]

For most large International business it may be a very good and important strategy to incorporate in HK, however, for small Internet business I don't think it is a good idea even if they have some tax benefits over there a offshore Company in some other jurisdiction wich don't require accounting and filing of Financial reports may be much better.


Large Investment Groups all over the World have branches and Corporations in HK, for them there is a 100% benefit doing so, but for the vast majority of IM'er's or small e-commerce business it makes no sense whatever.

 

[thorsten]

I never considered a HK Company before I read all this:

• Hong Kong is part of China
  
• Highest ranking in Economic Freedom of the World Report
  
• Heritage of British legal, administrative system and also Chinese culture
  
• Most effective and efficient banking system in the world
  
• One of the lowest and simplest tax system in the world
  
• More convenient in RMB Trading
  
• Tax exemption for non-HK source profit even for HK registered company
  
• No restriction of nationality in shareholder and director of HK company
  
• Allowing use of corporate shareholder and director in company structure
  
• Lower withholding tax in China for dividend
  
• Lower withholding tax in China for royalty fee
  

Then Again, how does it differ from Cyprus, Belize, Panama, Gibraltar, Swiss and many many other offshore jurisdiction? I find it risky to get a Hong Kong Company since a flight for me will take me more than 15 hours, that's not the same time I need to get to Cyprus, Gibraltar, Swiss or other great offshore jurisdictions? Also there are differences in the culture I think.

 

[JohnLocke]

I never considered a HK Company before I read all this:

• Hong Kong is part of China
  
• Highest ranking in Economic Freedom of the World Report
  
• Heritage of British legal, administrative system and also Chinese culture
  
• Most effective and efficient banking system in the world
  
• One of the lowest and simplest tax system in the world
  
• More convenient in RMB Trading
  
• Tax exemption for non-HK source profit even for HK registered company
  
• No restriction of nationality in shareholder and director of HK company
  
• Allowing use of corporate shareholder and director in company structure
  
• Lower withholding tax in China for dividend
  
• Lower withholding tax in China for royalty fee
  

Then Again, how does it differ from Cyprus, Belize, Panama, Gibraltar, Swiss and many many other offshore jurisdiction? I find it risky to get a Hong Kong Company since a flight for me will take me more than 15 hours, that's not the same time I need to get to Cyprus, Gibraltar, Swiss or other great offshore jurisdictions? Also there are differences in the culture I think.

And what of all this made change you mind? Just curiois. For me it seems like any other offshore company setup or rather onshore setup where you have to maintain accounting, file tax each year and you have even restrictions on what business activity you are allowed to do.

 

[JohnSeed]

I did quite a bit of research on this. I found Hong Kong is the best and Singapore comes second. Don't worry about people telling you it's risky and you will eventually get caught for tax fraud. Truth is, a company is a separate legal entity, resident in the country it is incorporated. If you open a company in Hong Kong, it is treated just like a Hong Kong citizen would be, for tax purposes, and would be governed by the fiscal laws of Hong Kong.
You don't have to try to hide the fact that you are a shareholder/director/owner of a foreign company from your government or anyone for that matter, since you are not doing anything illegal. As far as I know, there is no country with laws that prevent their citizens from being shareholders or directors of a foreign company.


When you try to bring the money inside your home country either as income from salary or dividend income, it becomes your personal income and you will have to pay taxes on that.

If I read you right you mean that for business as usual where you are not into any sort of tax reduction, privacy or similar a HK company is sufficient if your goal is to enter the markets in Asia? I'm actually considering an structure where a HK entity is included.

 

[lavel]

If I read you right you mean that for business as usual where you are not into any sort of tax reduction, privacy or similar a HK company is sufficient if your goal is to enter the markets in Asia? I'm actually considering an structure where a HK entity is included.

You read me correct, that said I don't say that any other offshore jurisdiction like Cooks Islands, Panama or some total different can't help you with archieving this!

 

[JohnSeed]

You read me correct, that said I don't say that any other offshore jurisdiction like Cooks Islands, Panama or some total different can't help you with archieving this!

Good point, thanks for clarification

 

[clemens]

How many have actually filed a HK company by now? am I the only one?

 

[carstenStahl]

I was considering HK for some months ago but read a lot of crap about it so I'm waiting to see what positive I can find before I will proceed.

Did you get a HK company? if yes you mind to share some information?

 

[clemens]

I say it's not worth the trouble, time and money to form a HK company. It makes more sence to find one of these offshore jurisdictions that really protect your privacy and assets in case.