Bookkeeping, Accounting, and Taxation

Maintaining accounts is every company’s basic need.

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Bookkeeping, Accounting, and Taxation

If you're unsure about the amount of tax you would have to pay for your Hong Kong company, our company can assist you with an in-depth breakdown and a comprehensive explanation. To start with, Hong Kong is the right place for your business one of the reasons is the business-friendly tax climate.

And taxes are a requirement since they are important for each individual, business, and therefore the government. Taxes affect many fields like competitiveness, job creation, and even the health of a country’s economy. And successively, this stuff influences companies and therefore the population, hence making it one among the most duties for the businesses in Hong Kong.

Hiring us to be any of the subsequent (or all) would assist you to experience the simplest service for your company:

  • bookkeeper
  • controller
  • business advisor
company formation services in hong kong Hong Kong

A bookkeeper may be a one that is given the task of recording the transactions just like the payment of bills, the accumulation of accounts receivable, payroll, purchases, sales, etc. Each company, be it a little one or an enormous enterprise needs a bookkeeper since these recorded transactions are used to pay the taxes afterward and even stay because of the proof when demanding the benefits/grants from the tax.

Usually, individual bookkeepers do not have a university degree in accounting. So, it's better to use a knowledgeable firm that features a good background during this field a bit like ours. Having an untrained bookkeeper can only make you lose tons more than you should have.

There are various sorts of collectors within the world, the foremost important being a taxman. A taxman is a person that is responsible to gather the taxes from businesses or a private company and submit them to the government on time.

If you're trying to find a person or workplace to take care of your taxes, our company can take up the responsibility. We wouldn't only assist the payments to the government, but we might also advise you on possible tax deductions and allowances for your company.

For you to run a Hong Kong business efficiently, a business advisor is required for better counseling and advice. Every businessman needs an individual who can give them the simplest assistance. This might be for advice within the business operations of the corporate, financial advice or taxation advice when it involves filings to the government.

Due to the tax-friendly environment, Hong Kong companies have relatively low taxes compared to other jurisdictions. One of the leading duties for companies in Hong Kong is paying the taxes, and there are different tax amounts placed on a person or company during his course of business in Hong Kong.

Income tax may be a tax that's paid to the government consistent with the quantity that's earned by the company on a yearly basis. There are two types and that they are:

Corporate – this is often the tax that's charged on the profits that are earned by the corporate and therefore the Hong Kong government charges 16.5% for the corporate Tax. For the new tax regime for the 2019 PTR (01 April 2018 to 31 March 2019) onwards, only 8.25% corporate tax on the primary HKD 2 million assessable profits, and 16.5% corporate tax on profits over this amount.

Individual – Individual tax during a country is applied to an individual who earns some profit therein particular country. The individual tax percentage in Hong Kong is 15%.

The withholding is a tax that is subtracted at the origin, particularly the one that is levied by a couple of countries on dividends or interest paid to someone who may be a citizen outside that country. There are three sorts of withholding taxes deducted and they are:

Dividend – 0%
Interest – 0%
Royalties – 5%-16.5%

Every HK Business must pay taxes in Hong Kong by filing the Profits income tax return, referred to as the PTR with the Inland Revenue Department (IRD), which is one of the most duties for the businesses in Hong Kong. One to 2 months before two years from the date of incorporation of a business, the very first PTR is issued by the IRD Hong Kong tax Authorities for the company.

After the government has issued the PTR, you would receive a notification from us advising you to supply the finished PTR to the govt within three months. Furthermore, the PTR has got to cover the amount over the primary 18 months after the company’s incorporation date.

Keep subsequent in mind and follow because the time gets close:

  • Find out the fiscal year-end date for your company.
  • In case your company has begun the business, you'd got to prepare the documents mentioned below:
    a) All invoices
    b) All bank statements
    c) All expense receipts
    d) ledger & the management account (Balance sheet, balance, earnings report, etc.)
  • Submit the PTR to IRD

The deadline for the submission of the annual PTR, alongside the audited financial statements for your second PTR and then is within six to seven months of the company’s fiscal year-end.

Note that the profit rate is 16.5% for companies in Hong Kong. And if the company hasn’t had any business yet, the NIL PTR must be filed with the IRD alongside providing the annual audited financial statements. Moreover, the director of the corporate or the secretary has to provide a declaration that the corporate has not started yet.

We also offer our professional booking and accounting services for companies, for people that are trying to find more professional services and for outsourcing their company accounts. With our experience in accounting and tax matters in Hong Kong, we will work to hold your financials in proper order. We pride ourselves in providing accurate and efficient accounting services including our accounting software. We provide timely responses for your tax matters and allow you to specialize in other areas for running your businesses.

  • Our Accounting and Bookkeeping Services Include:
  • Bookkeeping services
  • Preparation of monetary statements
  • Generate monthly reports
  • Create Management accounts (Profit and Loss, Balance sheet, General Ledger)
  • Bank reconciliation

*Retainment of All Company Documents in our Backoffice Software database

Our bookkeeping services aren't limited to those but are the essential ones provided for the monthly accounts. We also provide further accounting services, supporting your company’s requirements.

A breakdown of our bookkeeping fees are as below:
Pricing Guides Number of transactions Monthly
Per industry Per month Bookkeeping
1/2/3 20 or less HKD $2000/$2500/$3000*
1/2/3 50 or less HKD $2500/$3000/$3500*
1/2/3 100 or less HKD $3000/$3500/$4000*
1/2/3 150 or less HKD $3500/$3500/$4500*
1/2/3 200 or less HKD $4000/$3500/$5000*
Over 200 By Quotation
*Estimate number only, as fees may vary for every customer supported required amount of labor.

1) Service Company
2) Trading, Transportation, Shipping, Retail Company
3) High Volume/Special Case Companies

We also offer accounting and taxation services additionally to bookkeeping services for your company. These additional services are tailor made for your company and would be quoted based on your requirements. We might spend ample time on each case, and confirm the simplest solution for your company matters.

Our services for this include the following:

  • Payroll Services
  • Arrange online payments/cheque payments
  • Personal Salary Tax Filings
  • Management account consultation
  • Implement tax strategies to reinforce tax efficiency
  • Consult on tax effects of international transactions
  • Tax compliance services like tax computation and form preparation
  • Advice on offshore status and profits tax exemption to the IRD
  • Compose response for IRD Tax Query Letter
  • Other services

If you're using our monthly or yearly bookkeeping services, we provide some basic advice on your accounting and taxation matters that supports your company’s accounts. If you need further thorough services, we will quote you the time required to satisfy your needs.

The accounting and taxation matters of your company may impact your business dealings and are also time-consuming for business owners. While it's suggested to handle the accounts on your own for basic setups to save lots of costs, you'll want to hunt professional help when the corporate grows and financials get more complex.

Hiring us as your bookkeeper and tax advisor would allow you to enjoy comprehensive services that include efficient maintenance of the corporate books, consultation in effective tax plans to lower taxes, satisfy international tax compliance responsibilities and moderate taxation risks, and lots of more. be happy to contact us for a free quotation or advice on your accounts!