Hong Kong Private Banking and Tax Benefits

Hong Kong can be a popular choice for foreigners who would like to begin a private offshore checking account. The key reason why many businesses and individuals choose this region as a possible offshore jurisdiction to open their bank account and establishing a business in hong kong may be the territory's simple and easy and low rate tax system. Tax rates aren't just low the required taxes are levied based on the territorial principle. The territorial principle means the two personal income tax, known as the Salary Tax and the Corporate Profits tax are levied only on income and profits earned in Hong Kong. There is no tax levied on income or profits earned not in the region. There is no tax levied on bank interest and dividends earned by residents or non-residents.

The soundness with the banking industry plus the economy is yet another popular reason foreigners are snug opening bank accounts in Hong Kong. The HKMA, a lot like a central bank, is answerable to the security and security on the banking industry as well as the Hong Kong dollar. The HKMA as well as economic and banking policies are respected in the world as efficient and effective.

Hong Kong's tradition of providing banking account holders with strong confidentiality protections is another reason many consider this to be region an excellent location to open an offshore account and hk company set up. Hong Kong amended it's banking secrecy laws really to allow to the adoption of Exchange of Tax Information (EOI) tax treaties. It can, however, still provide members with many safeguards including notification for the account holder of a disclosure request and also the requirement which the requesting tax jurisdiction must provide very specific and detailed requests for information. This requirement discourages open ended fishing expeditions for account holder information.

A variety of strong and respected international and local banks with offices in Hong Kong offer efficient and secure private banking services with state of the art internet banking services. Most banks use English as their primary business language because it's a lovely feature to many from your U . s . and The european countries. Most banks offer account holders debit cards, bank cards, and checks. Online services typically include the chance to check balances, make transfers between accounts and send outgoing wire transfers in various currencies.

Opening an offshore account in Hong Kong is easy if you possess the right documentation. Opening somebody account will typically require a notarized copy of your passport, as well as a electricity bill or other proof of your address. Many choose a major international bank with offices into their home country to facilitate opening a free account. Others hire professional services to keep up all the info.

The reasonableness of Hong Kong's taxation policies, the strength and efficiency of that economy and banking system, the degree of confidentiality provided to customers, the variety of international and local banking establishments to pick among along with the easier opening a bank account combine to generate this region a jurisdiction to significantly consider when opening an offshore banking account.