Opening an Office in Hong Kong
Hong Kong is one of the Special Administrative Regions of China and is one of the leading international financial centres in the world, renowned for economic competitiveness and freedom.
Companies or corporations will find Hong Kong to be an outstanding market, and should remember that special considerations should be made and extensive research conducted in order to make the most of your business relations.
Foreign companies who want to open new offices in Hong Kong or do business can either register a branch or subsidiary of their foreign company in Hong Kong or incorporate a Hong Kong company.
Every business in Hong Kong must register with Business Registration Office and apply for a business registration certificate, which must be displayed on the business premises.
If a foreign company wishes to transfer employees to Hong Kong then an employment visa will be required. The employment visa applicant will need to prove that they possess the relevant job skills experience that are not available locally. A sponsor will also be required, which should be the employer company that is registered in Hong Kong.
Taxes In Hong Kong
- Salary Tax - In Hong Kong a salary tax is charged on wages, bonuses, any office or employment profit along with pensions.
- Profits Tax - Taxes are also liable to be paid on profits that any company makes that are derived from Hong Kong.
- Property Tax –A property tax is payable, however if a corporation pays profits tax on a rental property they would be exempt from this tax.
Business Protocol and Cultural Etiquette in Hong Kong
As a foreigner, greeting with a handshake and a slight bow would be considered acceptable, and it is important to greet the most senior members first in a group. Making appointments is highly recommended and punctuality is always essential. Gift giving is an important aspect of Hong Kong culture. Always accept a drink when offered and never interrupt your host when they are speaking.