Hong Kong trust formation in 2024
Despite its handover to China in 1997, Hong Kong law is based on English common law, which recognises the concept of a trust. The following information will help you determine whether a Hong Kong trust is the optimum solution to fulfill your personal and/or corporate objectives.
Advantages of trust formation in Hong Kong
- Trust beneficiaries enjoy 100% tax exemption on their income, provided they are non-resident;
- There is no requirement to register trust documents with the Hong Kong authorities;
- A Hong Kong trust is not required to submit audited financial statements or an annual tax return;
- Hong Kong is an international financial centre with a reputable, advanced legal system. Hong Kong trustees are bound by the provisions of the Trustee Ordinance.
Disadvantages of trust formation in Hong Kong
- A Hong Kong Trust has access to only a very limited number of double taxation agreements.
Main uses for Hong Kong trust formation
- To hold assets including property, bank accounts, stocks, shares, and assets of offshore companies; insurance and assurance policies and intellectual property;
- To protect assets from creditors.
Healy Consultants fees for trust formation in Hong Kong
| Different Hong Kong trusts | Registration cost | Annual maintenance fees | Sample of draft invoice |
|---|---|---|---|
| Foreign trust | US$16,000 | US$16,150 | View invoice PDF |
| Onshore trust | US$16,700 | US$14,450 | View invoice PDF |
Contact us for a customized Hong Kong trust formation proposal.
