Tel：+86 400 118 5939Address：Room 2810B, Block A, Tianli Central Plaza, Coastal City, Yuehai Street, Nanshan District, Shenzhen, Guangdong Province
Email：info@hyintern.com
+86 400 118 5939
牌照号：TC004750
Tel：+86 400 118 5939The application of offshore exemption mainly includes: for businesses operated by Hong Kong limited companies, if all operations (including sales, procurement, technical support, customer service) are not conducted within Hong Kong, the company can apply to the tax bureau for exemption from offshore income tax. Once approved, all offshore income is exempt from paying Hong Kong profits tax. To apply for exemption from offshore income tax to the tax bureau, the company must first prepare its accounts. Hong Kong adopts the principle of territorial origin for taxation, which means that only profits originating in Hong Kong are subject to taxation in Hong Kong, while profits originating from other places are not subject to profits tax in Hong Kong. So how can Hong Kong companies apply for offshore exemption? What is the process? Hong Kong companies wishing to apply for offshore income tax exemption have a complex process, as follows:
2. After the Hong Kong company completes the audit work, the licensed accountant will apply to the Hong Kong Inland Revenue Department for offshore business tax exemption based on the client's wishes.
4. If the tax bureau agrees that the company operates offshore, it will issue a tax exemption consent letter to the company.
If the application is successful, the Hong Kong Inland Revenue Ordinance can be legally utilized to exempt the payment of profits tax generated from offshore income. This not only saves tax expenses and reduces operating costs, but also enhances the company's ability to invest in other businesses with tax exempt funds. The application result depends on the assessment of the tax bureau, and there is no guarantee of 100%. If the declaration cannot be made, Hong Kong profits tax must be paid, and the company needs to pay the cost of offshore exemption application.
Scan QR code to follow 【Hongyuan International WeChat】
Email: info@hyintern.com
Hotline: +86 400 118 5939
