HONG KONG

Hong Kong is one of the world’s most liberal economies. Hong Kong's strengths as cited by the Heritage Foundation are its very low level of government involvement in business activities, very low inflation, very low barriers to foreign investment, very low level of restrictions in banking and finance, very low level of regulation. Hong Kong has one of the largest representations of international banks in the world: 62 of the world's 100 largest banks have a presence there. Hong Kong is the world's 9th largest international banking centre in terms of the volume of external transactions, and the second largest in Asia after Japan. The banking sector plays a vital role in establishing Hong Kong as a major loan syndication centre in the region.

1. One of the major advantages of utilizing a Hong Kong entity is that it will not be perceived as a tax avoidance vehicle, as Hong Kong is a major trading entity in its own right;
2. A Hong Kong company is one of the best corporate structure in the world. As well as being an extremely tax efficient corporate vehicle, it is perceived as a reputable trading entity globally and is unlikely to submit to OECD reformation pressures or be subject to scrutiny from international tax authorities;
3. The tax laws of Hong Kong are extremely simple compared to other onshore jurisdictions and the fiscal advantages of operating there could be summarized as follows:

• Taxes are levied according to the "territorial principle" meaning that taxes are only levied on income "derived from or arising in" Hong Kong and not on income sourced outside the Territory;
• A number of taxes that exist in most jurisdictions do not exist in Hong Kong. Thus there are no capital gains taxes, no withholding taxes, no sales taxes, no VAT, no annual net worth taxes and no accumulated earnings taxes on companies, which retain earnings rather than distribute them. In the long term it is intended to completely phase out stamp duty on the sale and issue of shares and securities and to reduce direct taxes further.
• Hong Kong has no double tax agreement with any country, with the exception of a limited treaty with the United States of America relating to shipping matters only.

4. The Business Registration Fee, currently USD335 (HK$2,600), is due and payable to the Hong Kong Registrar of Companies within one month from the date of incorporation and then annually on the anniversary of the first payment;
5. The standard authorized share capital is HK$10,000. An increase in the authorized share capital above this amount incurs an increase in annual statutory fees. The minimum issued capital is one share of HK$1 each;
6. A Hong Kong company must appoint a company secretary, who may be a natural person or a body corporate, but the company secretary must be resident in Hong Kong. The Company Ordinance prohibits the sole director to be company secretary of the Company.
7. Hong Kong companies are required to prepare full audited accounts under the company laws. In addition, the audited financial statements are furnished to the Inland Revenue Department together with a Profits Tax Return.
8. At least one director is required and full details of directors are filed with the Hong Kong Public Registry. The directors can be of any nationality and be resident anywhere. There is no requirement for board meetings to be held within Hong Kong and directors may be resident anywhere in the world;
9. Every Hong Kong Company must have a Registered Office in the Territory to comply with the Companies Ordinance.

FEES FOR REGISTRATION	US$
One Hong Kong Company, door to door courier included	$1.460,00

The aforementioned fee also includes the following:

- Verification of the proposed names for the company at the registrar

- Memorandum and Articles

- Certificate of Incorporation

- Share certificates

- Share register

- First minutes

- Power of attorney

- Undated and signed resignation letter from the nominee director

- First year of the license fee.

The nominee director service is rendered free of any cost to you for the first year.

OPTIONAL SERVICES	US$
Corporate documents with Apostille	$600,00
Twelve (12) months of Virtual Office (Mail forwarding from a
PO Box in Panama)	$350,00
Bank account in:
Panama	$500,00
Bahamas	$600,00
Belize	$600,00
Cyprus	$600,00
Seychelles	$600,00
Nevis	$600,00
St. Vincent and The Grenadines	$600,00
St. Lucia	$600,00
Switzerland	$600,00
Austria	$600,00
RENEWAL FEES	US$
With nominee director, registered agent and annual license fee
payable to the government of Hong Kong	$1,050,00
Without nominee director, registered agent and annual license
fee payable to the government of Hong Kong	$950,00