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──Aug 03 , 2022Can annual loss of Hong Kong company offset next year's profit?

With the global economic integration, many mainland enterprises will choose to register overseas companies, among which choose to registerHong Kong companyAs the first choice of many enterprises. This is in large part due to Hong Kong's tax policies.
          On the mainlandHong Kong companyAnnual losses, there's a credit limit, usually5For years, however, the credit in Hong Kong is indefinite. Of course, Hong Kong also has certain requirements for indefinite annual loss credit. For example, Hong Kong companies are required to operate normally in the year of loss, and the symbol of normal operation is that they have main business income in the year.

SoHong Kong companyIn the process of operation, the relevant bills should be kept to a certain extent, and the relevant bills can be provided in the audit and tax declaration in Hong Kong in the next year. As long as it is reasonable, the current profit of the enterprise can be offset, and the loss can be carried forward to the next year.

Hong Kong companyThe tax declaration is different from that in mainland China. In Hong Kong, the company will find a professional audit company to do the audit and tax declaration after the year, while in mainland China, it is the way of quarterly tax declaration. Therefore, in the process of operation, the Hong Kong company needs to keep the relevant bills and register them well. Only in the annual audit can the company clearly know the situation of each transaction and cope with it reasonably.

Can annual loss of Hong Kong company offset next year's profit?

CycloseThe company is committed to providing domestic and foreign customers with corporate audit, tax declaration, registration, annual inspection, tax planning and other services in Hong Kong, Singapore, Dubai and other regions. Efficient, rigorous, intimate service has been favored by many private enterprises, listed companies and large state-owned enterprises.

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