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Tax advisory & planning
in Hong Kong.

If you are looking to optimise your taxes in Hong Kong or are planning to expand abroad, you will need a solid tax planning strategy. We are here to help.

Tax compliance services in Hong Kong

Reduce your taxes & boost business profitability.

Your tax system optimised

We can help to reduce your tax liabilities in Hong Kong by optimising your current tax structure. That includes peforming a tax health check for clients, identifying and mitigating tax inefficiencies and leaks, eliminating the risk of double taxation and more.

Identifying new opportunities

You may be unknowingly leaving money on the taxman’s table. Our tax experts will help you reclaim your profits by making the best of available tax concessions, cash repatriation and incentives systems.

Strategic tax planning

For those making significant transactions or dealing with business expansion to other emerging markets in Asia, our team can provide the necessary tax guidance for performing them tax-efficiently.
Corporate & personal tax advisory

Our tax advisory services.

Corporate tax.

  • Corporate tax advisory & planning

    Our tax advisors can examine transactions that your company is proposing and advise on the optimal way of executing it from the Hong Kong tax perspective. This includes advising you on restructuring your business models to strengthen the validity of the non-taxable income claim, making use of specific tax rules to lodge deduction claims on their capital expenditure and providing ways to minimise tax liabilities according to the tax law legally.

    Hong Kong, PRC and the USA

    Acclime’s tax professionals can:

    • Advise on tax efficient corporate holding and operating structures for business operations, including human resource arrangement, to enhance business growth and operation risks
    • Advise on PRC and the US regulatory, accounting, tax, and business issues in respect of foreign investment into the PRC and the US
    • Formulate tax strategies for investment planning, cross-border corporate restructuring, and mergers and acquisitions
    • Structure tax efficient renumeration packages for expatriate employees working in the PRC

    Minimising withholding tax on foreign-sourced passive income

    Both individuals and corporations receiving passive income, such as interest income, dividend income, and royalty income from overseas companies may be subject to foreign withholding tax. They can apply there to use a lower withholding tax rate (or even zero withholding tax rate) if Hong Kong has a double tax treaty with the overseas jurisdiction in question. The application for relief to the foreign tax authority must be accompanied by a Certificate of Resident Status (COR) from the IRD, which confirms that the individual or corporation is a tax resident of Hong Kong. Our tax professionals are experienced in handling COR applications for clients and have successfully obtained a significant number of CORs for international clients.

  • Transfer pricing advisory

    Where your company is involved in the import/export of goods and services from related parties, our tax experts can provide you with a transfer pricing (TP) report. It will analyse the correct method of pricing your products and services and include a comparability analysis with other similar transactions in the market. We will include a tax-effective, value-chain analysis, as well as concrete suggestions on how to implement TP strategies in accordance with international standards.

    Advance pricing agreement

    Included in the service is the preparation of an Advance Pricing Agreement (APA) that will be agreed with the Hong Kong IRD under their transfer pricing policies. The process involves meeting with the IRD to discuss the APA in advance, which Acclime can facilitate. Concluding an APA provides certainty in pricing goods and services that flow cross border.

  • Tax investigation & dispute resolution

    We act on behalf of clients on the following:

    • Lodgement of tax exemption claims and settlement of tax disputes with the HK Inland Revenue Department (IRD)
    • Negotiating with the HK IRD for tax investigation and tax field audit cases

  • Tax due diligence

    Acclime performs tax due diligence for clients and advises on merger and acquisition transactions, both within Hong Kong and internationally.

  • Pre-IPO tax provision review & planning

    We specialise in conducting pre-initial public offering tax provision reviews and assist with IPO planning in Hong Kong.

  • Tax health check & optimisation

    Acclime regularly performs tax health checks for clients to help them eliminate risks arising from non-compliance.

  • Tax rebate advisory service

    Our tax teams help clients to become more tax efficient by maximising entitlements. For example, we help clients with tax relief arising from:

    • Export VAT
    • High & New Tech Enterprise Status (HNTE)
    • Offshore claim
    • R&D super deduction
    • Tax credits under double tax agreement (DTA)

  • Profit repatriation

    Our services include:

    • Advising on tax efficient ways for profit/fund repatriation/extraction
    • Base erosion and profit shifting (BEPS) planning

Single time- or project-based fee

Personal tax.

  • Personal tax advisory & planning

    In personal tax return preparation, we help identify the allowances and deductions you are entitled to and make sure they included in your returns in the most tax-efficient way. It includes:

    • Personal income tax advisory and structuring tax efficient packages (with filing services for Hong Kong, mailand China and the USA)
    • Planning and implementation of tax equalisation scheme for the US expatriates working overseas
    • Individual cross-border tax planning and advisory: setup of dual employment contracts for fixed/opened-ended contracts
    • Advice on objections and appeals to income tax assessments
  • Personal tax rebates

    Acclime’s tax experts assist you to maximise your tax relief through the raft of incentives available. We assist with:

    • Tax incentives: tax credit under DTA (e.g., Certificate of Residency in Hong Kong)
    • Application for full/partial tax exemption if applicable
Single fee
FAQ

Common questions.

What is the corporate tax rate in Hong Kong?
The corporate tax rates regime in Hong Kong is two-tiered: for the first HK$2 million of assessable profits is 8.25%, assessable profits above HK$2 million will be subject to the rate of 16.5%, subject to specific conditions.
Is offshore income exempted in Hong Kong?
Only income sourced from Hong Kong is taxable. However, this is not automatically granted by the IRD. If a Hong Kong company fulfills the following requirements, it may choose to lodge an offshore claim when it files the profits tax return. IRD will then issue questions and the company has to reply with supporting documents. Once the offshore claim is successful, the profit is exempted from tax.
What is the VAT rate in Hong Kong?
There is no VAT in Hong Kong.
Does Hong Kong have a VAT refund?
Not applicable (doesn’t have VAT, so no refund either)
Ready to get started?

Make running your business in Hong Kong easier with our reliable tax services.

Non-binding & confidential
Not sure where to begin?

Schedule a free 30-minute discovery call
to discuss starting & managing your company
in Hong Kong.

Winnie Li, Director