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.

The benefits of moving to Hong Kong.

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 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.

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).

(Source: Delioitte) https://www2.deloitte. com/content/dam/Deloitte/cn/Documents/ tax/ta-2020/deloitte-cn-tax-tap0382020en-200806.pdf

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.

The only disadvantages are a small city with limited land parcel offers with small spaces and high rental costs. Additionally, it may be difficult to build a social circle due to the transitory expat community. If you like, please visit following link to know how to relocate to Hong Kong? Also, what are the preparations are needed to relocate to Hong Kong.

National Holiday calendar (from 1st January 2021 to 31st December 2021)

Holiday Date Day

Dragon Boat Festival

Hong Kong Special Administrative Region Establishment Day 3 Jun, 2022 Friday

1 Jul, 2022 Friday

The day following the Chinese Mid-Autumn Festival 12 Sept, 2022 Monday

National Day of the People's Republic of China 1 Oct, 2022 Saturday

Double Ninth Festival 4 Oct, 2022 Tuesday

Boxing Day

T Christmas Day

New Year

Chinese New Year

Chinese New Year Second Day

Chinese New Year Third Day

Tomb Sweeping Day

Good Friday

Holy Saturday

Easter Monday 26 Dec, 2022 Monday

26–27 Dec 2022

1 Jan, 2023 Saturday

21 Jan, 2023 Monday

22 Jan, 2023 Tuesday

23 Jan, 2023

5 Apr, 2023 Monday

7 Apr, 2023 Friday

8 Apr, 2023 Saturday

10 Apr, 2023 Monday

Labour Day 1 May, 2023 Monday

Buddha Birthday 26 May, 2023 Friday

The pre-arrival checklist includes items that you need to consider when you are planning to relocate to Hong Kong.

Relocating

Hong Kong is one of the most expensive places to reside in the world. The cost of living is quite high, which requires one to devote much consideration before relocating. Thus, there is the need to observe the following aspects when planning a move.

Hong Kong is an attractive location in which to invest or work, due to its matured business environment and proximity to key nations, like China, India, Japan, South Korea, Singapore, etc.

Additionally, the internationally vast and diverse atmosphere of Hong Kong makes the process of relocating much easier. The process is well defined, the bureaucracy is minimal, and many people speak and understand English here.

However, Hong Kong is one of the most expensive places to reside in the world. The cost of living is quite high, which requires one to devote much consideration before relocating. Thus, there is a need to observe the following aspects when planning a move:

Visa

While the best time to apply for a visa is pre-arrival, if you have to apply or change after moving into Hong Kong, it should be your priority after you land. Bear in mind that getting a visa can take a minimum of four weeks and can also extend to six to eight weeks. Plus, you are not legally entitled to work or open a bank account until you first possess a valid visa. Therefore, it’s better to start the procedure as fast as you can.

Custom Duties

You can ship in your household goods and personal belongings free of any duties or tariffs. However, you would need to make sure that all your paperwork is in order when you go to collect them after clearance from customs.

Hong Kong’s restricted and prohibited items list is extensive and especially strict with food items. However, it also puts no limit on how much currency and how much alcohol you can bring with you, provided you declare cash sums larger than HK$120,000 under a new law to combat dirty money.

Pets customs

If you are relocating with your pet, you need to consider that Hong Kong has strict pet customs and health requirements.

- You can apply for a special import permit for your pet, which is valid for six months.

- You need to get your pet’s health certified by a licensed veterinarian as specified by Agriculture, Fisheries, and Conservation Department Import and Export Division. Please also refer for additional requirements, such as vaccination requirements for incoming animals, pet customs, quarantine, and micro chipping, depending on where you are moving.

- You can also work with a professional pet transport company that can take care of all the stressful stuff.

The government provides accessible and affordable healthcare services to the general public. To avail the facility, you must have a Hong Kong ID card and a valid visa.

There is more information about healthcare facilities in the medical care sections.

It is strongly advised to arrange a copy of all your healthcare documents/certificates (including, but not limited to, vaccination records of your child, history of family members’ health and medication, and list of medication used on a regular basis) to carry with you.

Vaccination

Vaccinations recommended for Hong Kong include the following:

– Hepatitis A – Hepatitis B – Typhoid – Rabies

Vaccinations required for Hong Kong include the following:

– Meningitis – Polio – Measles – Mumps and rubella (MMR) – Tdap (tetanus, diphtheria, and pertussis); – Chicken pox – Shingles – Pneumonia

COVID -19 Vaccination

HKSAR government expects every inbound traveller to take COVID-19 PCR test and is allowed to travel only when the result is negative. Finding housing can be challenging in this densely packed country. The high demand and limited supply of living space have resulted in high rents. The average monthly rent for a one-bedroom apartment in the city centre, not including utilities, is HK$17,604.00 (US$ 2,260.68), while outside of the city centre is HK$12,220.90, as of Feb. 2020. Although, the choice of selecting a fully furnished apartment with working utilities is completely yours, it can cost you more.

Please check the housing section in this book for more details.

Checklists

Before relocating, you must plan for the following:

1. Things you need to take with you, includes but not limited to documentation, certificates, clothes, medicines, and basic essentials.

2. Things you need to send by courier, such as essential furniture, pet, and other essentials.

3. Things you need to keep and how to manage them. This includes your home, renting options, your furniture, etc.

4. List of documents and certificates you need to carry (school certificates; health or vaccine certification; and insurance, if it is valid in Hong Kong; etc.) and arrange a safe custody for other important documents.

Research the Area and Pre-Join a Club

Research and explore your new residential area. Looking at all the nearby shops, grocery stores, restaurants, and cafes can help prepare you for mealtimes when you are still settling in. Further, if you find a club that piques your interest, and then you can go ahead and preregister yourself. Some

clubs offer support and help for their fellow members during or after the move as a means to welcome them. Expat groups, clubs, and associations are quite helpful in this manner.

Hong Kong offers a wide range of clubs, groups, organizations, and associations for you to join. You can find gender, niche, religion, social issues, and recreational need-specific clubs that resonate with your values and standards. Belonging to such groups and being a part of them can make your relocation really smooth. You can get instant connections to all the right people and all the right advice at all the right times.

Please refer to the lifestyle and recreation section in this book for more details.

Useful Reference:

• Visa Requirement

Hong Kong Immigration Department Website: https://www.gov.hk/en/nonresidents/visarequire/general/index.htm

• Hong Kong Customs Department Website

https://www.customs.gov.hk/en/cargo_clearance/prohibited_articles/in_airtrans/index.html

https://www.customs.gov.hk/en/passenger_clearance/instruments/index. html

• AFCD

Agriculture, Fisheries, Conservatives Department (AFCD) Import and Export Division Website:

https://www.afcd.gov.hk/english/quarantine/qua_ie/qua_ie_ipab/qua_ie_ ipab_idc/qua_ie_ipab_idc.html

Tel: (852) 1823

Email: icsenquiry@afcd.gov.hk

• Professional animal importer (Ferndale Kennels & Cattery_

Address: Sai Kung Country Park, Ferndale Kennels, SX-2031, Pak Tam Chung Nature Trail, Sai Kung

Tel: (852) 2792 4642

• Pet licenses and vaccination

Link: https://www.pets.gov.hk/english/ proper_care_of_pets/dogs/dog_licence.html.

• Housing cost:

Link: https://www.numbeo.com/costof-living/country_result.jsp?country=Hong+Kong