Asia's lowest-tax mainstream jurisdiction. Territorial 16.5% corp tax (8.25% on first HK$2M), 0% capital gains, 0% VAT — but post-2018 banking has become the major friction.
Not legal, tax, or accounting advice
This page is for orientation only. Choosing a corporate structure has tax, legal, and banking consequences specific to your situation. Consult a licensed attorney and tax adviser in both your country of residence and the proposed jurisdiction before incorporating.
$1,800
$4,000
4 days
16.5%
A Hong Kong Private Limited Company is the gold-standard vehicle for trade with mainland China, Asian holding structures, and businesses targeting Asia-Pacific markets. Incorporation via the Companies Registry under the Companies Ordinance (Cap. 622) is fast and cheap — HK$1,720 government fee, 1-2 days. Hong Kong uses a 'territorial' tax regime: only Hong Kong-source income is taxed (Profits Tax). The headline rate is 16.5%, but the two-tier regime introduced in 2018 cuts the rate on the first HK$2 million of profits to 8.25%. There is no VAT, no GST, no capital gains tax, no dividends withholding, and no estate duty. The catch: corporate banking in Hong Kong has become severely difficult post-2018 — major banks (HSBC, Standard Chartered, Bank of China HK) routinely reject non-resident-director companies, and even resident companies face 6-12 week onboarding with extensive KYC. Many operators now use neobanks (Currenxie, Statrys, Airwallex, ZA Bank) instead.
Government fee
$220
Registered agent (yr 1)
$800
Legal (optional)
$500–$2,500
All-in setup (low / typical)
$1,100 / $1,800
Annual maintenance (low / typical)
$1,500 / $4,000
Corporate tax rate
16.5%
VAT / GST
—
Withholding on dividends (non-treaty)
0%
Public beneficial ownership registry
Yes (searchable)
Two-tier Profits Tax: 8.25% on the first HK$2,000,000 of profits, 16.5% on the excess (incorporated entities). Territorial regime: only HK-source profits are taxed. Profits earned from foreign clients via foreign business activities can be exempted via 'Offshore Tax Claim' (Inland Revenue Ordinance s.14) — but post-2024 the Refined Foreign Source Income Exemption (FSIE) regime tightens passive-income exemption for in-scope MNEs. No GST/VAT. No capital gains tax. No dividend withholding tax. Stamp duty 0.2% on share transfers.
Banking difficulty
●●●●● Very hard
Stripe / payment processors
Stripe supported
Hong Kong banking became severely difficult post the 2018 anti-money-laundering tightening. HSBC, Standard Chartered, Bank of China HK reject ~70-80% of non-resident-director applicants. Even Hong Kong resident director companies face 6-12 weeks of KYC. The new path: virtual banks (ZA Bank, Mox, livi Bank) or fintech (Currenxie, Statrys, Airwallex, Aspire) — onboarding in 1-2 weeks but limited treasury features. Most operators now incorporate in HK and bank elsewhere (Singapore, Wise Business).
Stripe Hong Kong is fully supported with strong Asia connectivity. Adyen, GoCardless, and Asia-specific processors (HitPay, 2C2P, Asiabill) all work. Cross-border CNH/USD/SGD payments are unmatched in the region.
Osome handles the filing, registered agent, EIN/tax ID, and bank account setup as a single bundle. infoz earns a referral fee if you incorporate through this link; we still recommend cross-checking pricing against the official Hong Kong registry yourself.
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