Relocating to Hong Kong Hong Kong is one of the top choices for expats to work and live. It is a vibrant, multi-cultural, and modern city with plenty of opportunity to work and do business. Since it is one of the free-trade city nations, apart from Panama, it becomes a lucrative option for businessmen to do business. It is also one of lowest in tax rates, around 15%, and, thus, makes it equally attractive for working professionals.
businesses) on the first HKD 2 million of assessable profits, and 16.5% for corporations (15% for unincorporated businesses) on the remainder of assessable profits.
The benefits of moving to Hong Kong.
(Source: Delioitte) https://www2.deloitte. com/content/dam/Deloitte/cn/Documents/ tax/ta-2020/deloitte-cn-tax-tap0382020en-200806.pdf
Business opportunities: It is relatively easier to start a business in Hong Kong. Since China is the biggest manufacturing hub, sourcing and export companies, shipping, and insurance-related businesses are doing well. Apart from export-related business, consulting and technology-related businesses are also doing well. Job opportunities: Consulting, banking and shipping professionals and high-skilled professionals get good pay. Some of the roles in demand are portfolio management, general counsel, internal audit/internal audit professionals, marketing, digital marketing, project/program managers, finance and accounting, etc. Taxation and saving: considering the lower personal as well corporate taxes, Hong Kong becomes one of the most attractive places to work or do business. There are three main types of tax levied under the Inland Revenue Ordinance (IRO), including profits tax, salaries tax, and property tax. An 8.25% profit tax rate is applied for corporations (7.5% for unincorporated 14
Individual taxes are based on progressive rates based on their income. The minimal tax rates range from 2% to 17%, with a cap at the standard rate of 15% on assessable income (i.e., taxable income without the deduction of allowances).
This is lower than several countries where tax rates are between 25%-35%. This gives an advantage to the residents and entrepreneurs to save money on their income. Highly skilled professionals tends to be paid quite well, which is another reason why it’s worth working in Hong Kong. The pay you may get here will more than likely be better than you would get in your native country. Hong Kong also tends to offer good career prospects. Hong Kong infrastructure: Hong Kong is a city nation and offers excellent world-class infrastructure in the form of local transportation, sea as well as airports, electricity, internet, etc. The usage rates are competitive. Vibrant Culture: Since Hong Kong offers global business and career options, worldclass infrastructure, it has attracted a large number of expats, who in turn brought global culture and global living, such as international schools, global cuisine, global fashion, etc.
