Hong Kong Tax Advisory Services
Get your Hong Kong company records ready for a profits tax review or an IRD enquiry. EasySail helps reconcile accounts, organise transaction evidence and coordinate next steps with the business and its appointed tax professional.
Prepare for a Hong Kong profits tax review
Start with the notice and reporting period
Identify the company, the year of assessment, the return or enquiry received and the deadline shown on the notice. Keep earlier returns and correspondence available so the review can identify what changed. Agree who prepares the supporting work and who is authorised to submit the response.
Organise the records before assessing the tax position
- Accounts, trial balance and prior-year tax computations, where available.
- Bank and payment-platform statements reconciled to sales, expenses and balances.
- Sales and purchase contracts, invoices, delivery evidence and service records.
- Related-party agreements and an explanation of cross-border payments.
- Any IRD return, assessment, enquiry letter or earlier response relevant to the issue.
Hong Kong's Inland Revenue Department explains that businesses must keep sufficient income and expenditure records to determine assessable profits and retain them for at least seven years. See the IRD record-keeping guidance.
Distinguish accounting, audit and tax work
Bookkeeping explains the figures. Audit work, where required, is handled by the appointed auditor. Tax review considers the return and the evidence supporting its treatment of transactions. Ask for a quote that identifies which work is included, which records are missing and which professional will handle formal filings.
Make a cross-border enquiry easier to review
Describe where contracts were negotiated, where services were carried out and how goods and payments moved. Link that explanation to the records. A useful first review identifies unanswered questions and the evidence needed; it should not assume an exemption from a customer's address or a foreign bank account.
For accounts and audit coordination, see Hong Kong accounting and audit support. Discuss the reporting period and the issue with EasySail before sending detailed records.
Is this service right for you?
Find support for your priorities through practical advice.
Companies operating in Hong Kong
Reconcile contracts, income, costs and staff activities with accounting evidence.
Groups with cross-border transactions
Gather support for intercompany purchases, services, financing and distributions.
Companies receiving tax notices
We clarify the document, required response and evidence already available.
How we help you move forward
We connect your goals with practical next steps.
1. Understand the goal
We trace contracts, goods, funds and the work performed to identify the facts relevant to the company’s income.
2. Work through the options
We compare accounts, returns and notices to explain differences and prioritize issues needing tax review.
3. Move the work forward
We organize the transaction explanations and supporting evidence for the relevant tax professional’s review or authorized response.
Service planning
and fees
We explain the proposed work alongside fees and ongoing costs.
We price by period, transaction categories, record quality and enquiry complexity. We separate routine advice, filing assistance, specialist analysis and dispute representation.
Our service in detail
Support tailored to your priorities : transaction evidence analysis and tax follow-up priorities.
Transaction fact file
We analyse how contracts, goods, funds and staff activities connect. We identify facts, evidence gaps and further questions relevant to determining the source of profits.
Filing document review
We analyse differences between accounts, reports and tax notices, recommend clarifications and preparation priorities, and support the business and appointed tax professional in progressing filings.
Cross-border income questions
We identify evidence and issues without pre-classifying income as exempt.
Enquiry coordination
We compare official questions with the evidence, analyse gaps in explanations, and recommend response preparation and responsibilities. The authorised provider makes the formal response.
Frequently asked questions
Q:What is Hong Kong's corporate tax rate?
The standard profits tax rate for Hong Kong corporations is 16.5%. For corporations eligible for the two-tiered system, the first HKD 2 million of assessable profits is taxed at 8.25%, and the excess at 16.5%. Restrictions concerning connected entities and other conditions should be checked separately. These rates apply to assessable profits, not directly to gross receipts or turnover. Reference: Hong Kong Inland Revenue Department two-tiered profits tax rates
Q:What is the offshore income exemption?
The source of profits for Hong Kong profits tax must be assessed using the actual profit-generating activities and transaction evidence. Overseas customers or the absence of a Hong Kong office alone do not establish exemption. Foreign-sourced income of certain multinational enterprises may also fall under FSIE rules; check the scope, conditions and filing evidence separately. Reference: Hong Kong Inland Revenue Department foreign-sourced income rules
Let’s discuss your next step
Tell us about your plans or the issue holding you back. Let’s discuss the next useful step.