Understanding Hong Kong's Company Redomiciliation Regime: A Strategic Opportunity
Source : Hong Kong Companies Registry []
What is Company Redomiciliation?
- Company redomiciliation enables a business incorporated in one jurisdiction to transfer its legal domicile to Hong Kong without dissolving its original legal identity. Introduced under the 2025 Ordinance, this regime maintains operational continuity while providing access to Hong Kong’s robust business environment.
Eligibility and Application Process
Eligibility Criteria
Broad Coverage: Applies to private and public companies limited by shares, and unlimited companies with share capital.
No Substance Test: No specific requirements for asset value or staff headcount are needed for eligibility.
Efficient Process
Quick Approval: Applications are typically processed by the Registry within two weeks of complete documentation.
Next Steps: Proof of original deregistration must be provided within 120 days of Hong Kong approval.
Tax Benefits and Strategic Advantages
Tax Considerations
Territorial System: Profit tax only applies to profits sourced within Hong Kong.
Tax Neutrality: Includes unilateral tax credits for foreign taxes paid and stamp duty exemptions on redomiciliation.
Strategic Use Cases
Hub & Management: Ideal for Regional Headquarters, Family Offices, and Asset Management firms.
Legal Continuity: Maintain existing contracts and corporate history without disruption.
Hong Kong's redomiciliation regime is a gateway for businesses to solidify their status in an international hub. For professional guidance and a seamless transition, contact our experts today!
For more information, please visit the Companies Registry here.
Corporate Tax
Hong Kong adopts territorial tax system. Profits tax shall be charged on every person carrying on trade, profession or business in Hong Kong in respect of the profits arising in or derived from Hong Kong from such trade, profession or business regardless of the nationality, domicile or residence of a person.
Individual Tax
Hong Kong salaries tax is charged on every individual in respect of his/her income arising in or derived from any office, employment or any pension in Hong Kong. All income from a “Hong Kong sourced employment” is liable to tax irrespective of the locations for rendering the services, subject only to certain statutory exemptions.
Tax Investigation and Filed Audit Support
Hong Kong upholds simple tax system and its tax rate is one of the lowest in the world which requires a high degree of compliance of taxpayers. In order to protect government revenue, the IRD will review the submitted tax returns periodically by way of field audit and investigation.
Tax Policies in Hong Kong
Double Taxation Relief / Withholding Taxs / Advance Ruling in Hong Kong
/ Common Reporting Standard ("CRS") and Automatic Exchange of Financial Account Information ("AEOI")
/ Common Reporting Standard ("CRS") and Automatic Exchange of Financial Account Information ("AEOI")