Hong Kong is a trap, a fake good offshore jurisdiction

[uplana]

@redeye

Audit:
Actually, in Europe, there is no audit of companies starting from 1 euros of profit. In Hong Kong, every single companies with at least 1 HK dollar has to be audited. The vast majority of HK company discovers it after one year.

If you had lots of transactions during the year, the HK auditor will justify a high price for the audit and for a small business is really expensive. In fact, this can be as high as if you would pay 12,5% corporate tax in Cyprus. I say it so because i know someone who paid $4000 for the audit of his company as he had lots of micro-payments.

In cyprus 2 of the 3 conditions are required to impose a company an audit

(a) its total assets do not exceed € 3.4 million,
(b) its net turnover does not exceed € 7 million,
(c) its average number of employees does not exceed 50 persons.

Thank you for sharing this information is has been of great help to me to decide not to register a company in Hong Kong!

 

[cutmetwo]

Then go to Seychelles and you're will blacklisted from all.

There are some controls but in final Hong-Kong are not Blacklisted from all and stay a clean place to have an offshore company.

You pay a HK company for do all of papers yearly and it's good.

In this video the guy go to HSBC but HSBC HK don't accept to open account if it's 100% offshore.

I don't see where you are blacklisted from all with a Seychelles company? how comes you think so?

 

[DeepDrilling]

I don't believe all what I read on the Internet. But this convenience me not to register my company in Hong Kong ever!

 

[discon ected]

Yes I can confirm HK is a terrible choice. Especially if you go for someone with $2k+ fees annual and don't know about cheaper options.
What exactly happens when somebody drops their company (stops doing audits and fees)? I heard of fines that go up to $10k, but anyone has link to real experience? Will they arrest you or something if you arrive to HK? What's worst coming out of this?

 

[negon]

With the behaviour reported by many people after all, I would not risk my freedom to travel to HK at least the first one or two years after I droped the company there.

That's of course just my personal opinion.

 

[discon ected]

Can you link any of those reports? Wouldn't it be wiser to not travel *after* 1-2 years because fines will only get higher.

 

[BlackZero]

I just registered a company there( HK) and was thinking to travel there to open a bank account but for now i opened an offshore account in latvia without going there , still it will hit me tax ? any suggestions ? Also need to open a PayPal Account on Latvia Account but my company is in Hk any Help ?

 

[dirtyharry]

It is not going to work for you with a PayPal account. You setup a mismatch! You would need to travel to Hong Kong to get an account there! The banks require personal visit as far as I know. I have not seen any report the success of open an account in HK without personal visit at least!

 

[dirtyharry]

Can you link any of those reports? Wouldn't it be wiser to not travel *after* 1-2 years because fines will only get higher.

If you consider to travel there then pay what you owe the guys and pay to get the corp closed. It is not worth to get troubles once you enter the airport there!

 

[BlackZero]

If you consider to travel there then pay what you owe the guys and pay to get the corp closed. It is not worth to get troubles once you enter the airport there!

You are right i think i did the mistake , what should be the ideal way to do it ?

 

[adoffshore]

This is one of the best thread I have read about Hong Kong and how they fraud their clients and try to fool them into their business! Thanks for the great share OP!

 

[haslan]

People are very naïve about Hong Kong. HK is a just a special region of China... Since it is far away from everything people think they are protected by it is not true. It is exotic so some people just jump on it.

However, if something goes wrong, it really gets bad because they will seize all your company assets in a blink of an eye.

Count me in I was naive too back then when I registered a company in HK!

 

[haslan]

You are right i think i did the mistake , what should be the ideal way to do it ?

screw them, there will be no problems at all. Why are you afraid of them there! I didn't paid them my recurring invoice and told them to go f**k themselves!

 

[pesto]

Great research you guys have made here. OP it's a shame you got banned hope you some day get back here!

 

[pesto]

Then go to Seychelles and you're will blacklisted from all.

There are some controls but in final Hong-Kong are not Blacklisted from all and stay a clean place to have an offshore company.

You pay a HK company for do all of papers yearly and it's good.

In this video the guy go to HSBC but HSBC HK don't accept to open account if it's 100% offshore.

Who say you get blacklisted from all? what is all what is it you mean?

 

[JohnK]

Before I found this forum and before I even know where I wanted to register my offshore company I read a lot about Hong Kong as a great jurisdiction for offshore companies. Today I read this thread and I thank god that I didn't setup something there!

 

[brutalzorn]

Great information, really great! Thanks.

 

[MrBeasts]

On my first thread, there is a link to the story of a digital nomad who started to have problems with the IRD (HK authority after 18 months of activity.

Plus, i didn't link it but, i have found several people saying that the IRD (Hong kong tax authority) asked for your personal tax statement when you filled out the tax exemption claim. I don't want to link the source because the source is a Hong Kong company that incorporate companies. I don't want people to fall in this trap.

I have discovered that many registered agents of Hong Kong asked for personal tax statement of people who wanted to incorporate a company too.

No jurisdiction in Europe, Seychelles, Belize ask you for such a thing.

By the way i don't talk about blacklist, i talk about local issues with Hong Kong jurisdictions itself.

You are a very wise man and know much. It's a shame you got banned from here! Thanks for leaving this information it was the reason for why I found this forum!

 

[negon]

Does someone has a reliable provider of Hong Kong companies after all? I find it very informative this thread but still it would be nice to know if there is any reliable provider around that not will fool you into their business nor charge you a arm and leg once you have setup the company with them!

 

[Naka]

Does someone has a reliable provider of Hong Kong companies after all? I find it very informative this thread but still it would be nice to know if there is any reliable provider around that not will fool you into their business nor charge you a arm and leg once you have setup the company with them!

So far I know Bridges, which seem to be good. You can look for "Bridges HK". Not really sure how they are compared to other. I just know some people who are working with them.

To the rest:

When it comes to accounting and auditing HK is really a pain. Especially those offered by the companies who are helping you to set up the Limited. I would even consider it as a scam. Some of them are charging crazy amounts for auditing and accounting. However, I know people who are paying less than 5% of tax per year without any tax exemption.

I think accounting can be outsourced or done by the CEO himself. I wouldn't go with the provider, but as far as I know the auditing has to be done by an licensed Hong Kong auditor. Also with this I wouldn't really go with provider. There are many auditors in HK who are charging less. Just a bit hard to figure out these legit auditors.