Tax Services
Frequently Asked Questions about Tax Services
1. Tax filing services
Under Chapter 112 of the Hong Kong Inland Revenue Ordinance, there are currently three types of tax levied directly on individuals or organisations, which must be declared each year on a tax return. The year of assessment runs from 1 April to 31 March of the following year:
✅ Profits tax
✅ Salaries tax
✅ Property tax
The tax filing documents involved include:
✅ Limited company tax return
✅ Unlimited company tax return
✅ Individual tax return
✅ Employer’s return
✅ Property tax return
2. Can a limited company file its own tax return?
Of course you can. Filling in a tax return may look simple, but it is an important document the Inland Revenue Department uses to assess tax. A small mistake can lead to a large amount of unnecessary tax. Late filing penalties and the consequences of late payment can also be serious.
NOTES & COINS provides various types of tax filing services, including:
✅ Limited company tax filing
✅ Unlimited company tax filing
✅ Individual tax filing
✅ Employer’s return
✅ Property tax and personal assessment
✅ Acting as tax representative and objecting to assessments
3. What is tax filing for a limited company?
The Companies Ordinance requires Hong Kong limited companies to complete an annual financial audit and file a profits tax return based on the audit results. The financial statements must be audited by a Hong Kong practising accountant, who issues an audit report. The company submits the audit report together with the profits tax return to the Inland Revenue Department. The IRD assesses tax based on the report and the return, and issues the assessment.
4. What is tax filing for an unlimited company?
Unlimited companies include sole proprietorships and partnerships. The Inland Revenue Department issues tax returns to unlimited companies. Sole proprietors and partnerships must complete the return on time and submit it to the IRD together with the required computation schedules.
The return states the deadline. The person in charge must complete it within that period and submit it with the computation schedules. The IRD assesses tax based on the schedules and the return, and issues the assessment.
5. What is individual tax filing?
Individual tax filing means an individual declares to the Inland Revenue Department their income, deductible expenses and allowances for the relevant year of assessment, so the IRD can assess the tax payable. Key points include:
‼️ The Individual Tax Return (BIR60) is the form used to declare personal income.
‼️ Salaries, profits from a sole proprietorship, and rental income from wholly owned property must all be declared.
‼️ You may claim specified deductions and allowances to reduce tax payable.
‼️ Even if you have no income to declare, you still need to complete and submit the return on time.
‼️ Watch the filing deadline — late filing may result in penalties.
‼️ If you have questions, you can contact the IRD or seek professional help.
6. What is an employer’s tax return?
The Inland Revenue Department issues the Employer’s Return (Form BIR56A) to employers on the first working day of April each year. Employers must fulfil their statutory duty by completing and returning it within one month. Failure to complete or submit the Employer’s Return on time may result in a penalty.
The Employer’s Return is part of an employer’s legal obligations. Please complete and return Form BIR56A within one month of issue.