Hong Kong dormant accounting and tax obligations in 2024

Our in-house Accounting and Tax Department prepared this web page to help our multi-national Clients’ understand their annual Hong Kong statutory obligations:

No. Task US$
1. Preparation of abridged dormant financial statements (a 15-page annual report) including:

  • Compliance with Hong Kong Financial Reporting Standards; and
  • Crafting accurate and complete financial statement disclosures, to properly explain to the IRD the absence of annual transactions and zero corporation tax;
  • Necessary filing with the government authorities;
2. Completing audit obligations of the financial statement including:

  • Negotiate an exemption from independent statutory annual audit;
3. Completing your Hong Kong dormant entity annual corporate tax obligations including:

  • Preparing an accurate and complete i) nil corporate tax return and ii) nil tax computation and iii) tailored cover letter for IRD; clearly explaining why there are neither annual net profits nor losses;
  • Negotiating written inquiries and phone-calls from the Hong Kong Tax Authorities (post tax return submission), justifying why corporate profits are tax exempt;
Total annual accounting & tax fees for a Hong Kong dormant company

Note: Additional fees of US$2,270 will apply for each single historical financial year since incarnation/dormancy and once company becomes active.