It enjoys peerless transport connections. Hong Kong is strategically located at the heart of Asia, alongside many of the region’s most exciting business markets.
Strategically located for business in Asia
– Beijing, Shanghai, Singapore, Taipei, Manila, Kuala Lumpur and Perth are in the same time zone as Hong Kong
– Bangkok, Jakarta, Seoul and Tokyo are within one hour’s difference
– All Asia’s key markets are less than four hours’ flight away
– Half the world’s population is within five hours’ flight time
– About 1,100 daily flights between Hong Kong and the rest of the world
– According to Doing Business; the formalities for starting a business require three days. It is the country where there is greater ease of obtaining building permits, and although it is ranked 57 on ease of registering property, the time required is similar to the average of OECD countries.
– Stability in the rules of investment and ease of doing business especially compared to China, cause many companies to choose Hong Kong as a country to settle and then address the Chinese market.
– Profits tax is capped at 16.5 percent
– Salaries tax is a maximum of 15 percent
– Property tax is 15 percent
More important are the taxes that Hong Kong does not impose:
– No sales tax or VAT
– No withholding tax
– No capital gains tax
– No tax on dividends
– No estate tax
The ease of submitting tax returns is another attractive part of Hong Kong’s business environment. Many people complete their tax returns themselves – a simple process – and can submit them online. Others rely on Hong Kong’s many accountancy firms, large and small, for cost-effective tax services and advice.
***Paying Taxes is a study commissioned by the World Bank and IFC which measures the ease of paying taxes across 189 economies worldwide. It covers both the cost of taxes and the administrative burden of tax compliance.
– Government support for companies
– Incubator programmes
– Loan guarantees
– Funds for marketing