Compliance
Hong Kong is easy to enter and genuinely regulated once you are in. A statutory audit, a company secretary, a registered office, an annual return, business registration renewal and a profits tax return apply regardless of company size — which is why the three-year cost matters more than the setup fee.
Quick answer
Hong Kong companies are generally required to have their financial statements audited by a local practising certified public accountant to support the profits tax filing. Hong Kong should never be marketed as a 'no audit' jurisdiction. The current requirement and any narrow exemptions are confirmed for your entity before we quote.
Accounting records must be kept and retained for the statutory period, in a form that supports audit and the tax computation.
Annual financial statements prepared under the applicable Hong Kong reporting framework.
Hong Kong companies are generally required to have their financial statements audited by a local practising certified public accountant. Hong Kong is not a 'no audit' jurisdiction — the current requirement and any narrow exemptions are confirmed for your entity.
The profits tax computation is built from the audited figures, including any offshore claim, which must be supportable.
Where there are employees, payroll records, employer returns and MPF obligations follow.
Audit requirements, exemption conditions, filing windows and late-filing fees are confirmed against current Companies Registry and Inland Revenue Department rules for your financial year — none is published here.
| Obligation | Responsible / authority | Notes |
|---|---|---|
| Annual return | Companies Registry | Filed annually within the statutory window; late filing attracts escalating fees |
| Business registration renewal | Inland Revenue Department | Renewed on its own cycle, separate from the annual return |
| Audited financial statements | Auditor / company | Prepared each financial year to support the profits tax return |
| Profits tax return | Inland Revenue Department | Filed on issue, with the computation and audited accounts |
| Employer's return and MPF | IRD / MPF trustee | Where the company has employees |
| Significant Controllers Register | Company records | Kept current and available to authorities on request |
| Company secretary and registered office | Company | Maintained continuously; changes notified to the Registry |
| Registry change filings | Companies Registry | On any change of directors, secretary, address or shareholding |
| Foreign filings | Shareholder / parent jurisdictions | CFC, group and shareholder reporting where applicable |
Individuals or entities with significant influence or control over the company, identified against the statutory tests rather than by preference.
The company keeps a Significant Controllers Register at a Hong Kong address and designates a representative — this is a legal obligation from incorporation.
Law-enforcement and regulatory officers can inspect it on demand. Banks separately require the full ownership chain.
Any provider selling a Hong Kong company as a way to conceal ownership is describing a breach of the rules, not a feature.
Written terms compliant with Hong Kong employment law, including statutory entitlements.
Employer reporting obligations to the Inland Revenue Department, with employee filing obligations of their own.
Mandatory Provident Fund enrolment and contributions where applicable, arranged before the first payroll run.
Non-resident employees need the appropriate employment visa, assessed on its own criteria.
How this page is verified
Profits tax rates, fees, audit requirements, filing deadlines, employment and MPF figures and immigration criteria are not published on this page from memory. Each is held in our Hong Kong rules database with its authority, official source and effective dates, and is confirmed for your facts and your year of assessment before you rely on it.
Nothing on this page is tax or legal advice, and nothing here confirms that any profit is offshore, that any exemption or arrangement benefit applies, or that a bank will open an account. Source of profits, foreign-sourced income treatment and licensing all depend on the specific facts and are reviewed before any position is filed.
Reviewed by International Tax and Corporate Services — Sheikh Anwar Accounting & Auditing LLC. Reviewed every 90–180 days and whenever an authority updates a rule.
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