HK resident with offshore investments -> Back to EU

[thomasparra]

Hi all,

I have been out of Hong Kong since Summer 2021 (staying in European and African countries for less than 6 month in each country). I am still earning employment income in HK and I am technically a HK resident up to 23 November 2022 even though I am not physically there, according to the OECD definition.

I will most likely resign from this job in August / September and start a business in France (through an auto-entrepreneur status for those who are familiar with this). I have several bank and investment accounts in various stock ETFs through a 'offshore' bank in Jersey. As I am still HK resident there and benefit from 0% profit and dividend tax this way, I was thinking of keeping my tax residency in HK for some time, especially as I am moving between countries and juridictions every 2-3 years therefore I would like to keep my HSBC Expat investments and accounts.

What do you think?

 

[Martin Everson]

I have several bank and investment accounts in various stock ETFs through a 'offshore' bank in Jersey. As I am still HK resident there and benefit from 0% profit and dividend tax this way, I was thinking of keeping my tax residency in HK for some time, especially as I am moving between countries and juridictions every 2-3 years therefore I would like to keep my HSBC Expat investments and accounts.

No problem with keeping your Hong Kong tax residency you will just need to add French tax residency to your list when your self employed there. You are allowed to be tax resident in more than one country. Sorry don't know if you plan to keep your HK residency to avoid French tax net or something...lol.

What do you think?

If you got money stay away from French residency. If you got no money the scheme is fair for low earners.

 

[thomasparra]

No problem with keeping your Hong Kong tax residency you will just need to add French tax residency to your list when your self employed there. You are allowed to be tax resident in more than one country. Sorry don't know if you plan to keep your HK residency to avoid French tax net or something...lol.




If you got money stay away from French residency. If you got no money the scheme is fair for low earners.

Thanks for the advice.

I don’t have much money, low 6 figure in net worth. I don’t foresee my business to generate more than 100k in sales on the first year hence the auto entrepreneur status seems ideal for me (low/no taxation) especially to start.

I don’t want to pay the 30% flat tax on the money I have invested through my Jersey bank, but you are right I only have like 100k invested so its no biggie anyways… I was just trying to think how France would know I have investment accounts in Jersey lol

 

[Martin Everson]

I was just trying to think how France would know I have investment accounts in Jersey lol

Unlikely they will find out automatically or immediately. However do you want to lie on French tax forms? Being able to sleep peacefully at night is highly underrated .