Strategic tax planning and compliance solutions for businesses navigating the complex tax landscapes of Hong Kong and mainland China.
Comprehensive cross-border tax solutions tailored to multinational enterprises operating in the Greater Bay Area.
Strategic optimization of tax structures for Hong Kong-mainland China business operations, ensuring compliance while minimizing tax exposure.
Learn MoreComprehensive transfer pricing documentation and planning services aligned with OECD guidelines and local tax authority requirements.
Learn MoreFull-cycle tax compliance services including preparation, review, and filing of tax returns for both Hong Kong and mainland China entities.
Learn MoreExpert representation in tax audits, investigations, and dispute resolution proceedings with Hong Kong Inland Revenue Department and PRC tax authorities.
Learn MoreAdvisory on optimal investment structures for mainland China market entry and Hong Kong holding company establishment.
Learn MoreGuidance on VAT, consumption tax, and stamp duty implications for cross-border transactions and business operations.
Learn MoreStrategic presence across all nine Greater Bay Area cities plus Hong Kong and Macau Special Administrative Regions.
Understanding the fundamental differences between Hong Kong and PRC tax systems is essential for effective cross-border tax planning.
| Tax Aspect | Hong Kong | Mainland China (PRC) |
|---|---|---|
| Profits Tax Rate | 16.5% | 25% Standard |
| Territorial System | Yes - Only HK-sourced profits taxed | Limited - Enterprise Income Tax on worldwide income for resident enterprises |
| Capital Gains Tax | No - Not subject to separate tax | Yes - Taxed as ordinary income |
| Withholding Tax | No - No withholding on dividends, interest, royalties | Yes - 10-20% on dividends, interest, royalties (subject to tax treaties) |
| VAT / GST | No - No VAT or GST system | Yes - VAT (13%, 9%, 6%) applies to most transactions |
| Double Taxation Agreements | 40+ Comprehensive DTA network | 100+ Comprehensive DTA network |
| Group Relief | No - No group loss relief available | Yes - Limited group relief available |
| Tax Year Basis | Year of Assessment (April 1 - March 31) | Calendar Year (January 1 - December 31) |
Our team of experienced tax consultants is ready to help you navigate the complexities of Hong Kong and mainland China tax regulations.
Level 38, Two International Finance Centre, 8 Finance Street, Central, Hong Kong
+852 1234 5678
enquiry@taxbridge-hk.com