In present changing global economy, wide numbers of companies are established offshore operations. Started from small to medium sized companies or even MNC’s are based offshore. Similarly numbers of self employed consultants handles offshore companies and present their services to the clients all over the world. There are lots of reasons why businesses are going to incorporate offshore companies and the prominent one are low taxes, simple to form and ongoing conformity, transparent process and well-organized legal structure and entry of global financial institutes.
One of the most admired and followed countries for formation of offshore company is Hong Kong. Similar to Singapore, Hong Kong is known to be Asia's major financial market and an ideal option for offshore company formation. The country is ranked as the world's freest financial system. As far as taxes are concerned, Hong Kong has the lowest tax rates in the world.
In Hong Kong, Taxes are based on the "territorial principle". In other words, taxes are only depends on revenues "obtained from or happening in" Hong Kong and not on profits sourced remote Hong Kong. No tax is remains on profits coming, even if they are forwarded to Hong Kong.
It is important to consider lots of factors before thinking about an offshore business. In order to opting the correct business jurisdiction, serious elements including the business setting, costs required, easiness of Hong Kong company formation, easiness of ongoing fulfilment, bureaucracy stages and tax government require to be taken into account.
For more information visit us at- http://www.offshore4asia.com/hong-kong/