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Discounts and fee waivers for businesses in latest Hong Kong support measures

As part of recent business support measures, the Hong Kong government is waiving annual return registration fees for two years and offering 10% discount for online company incorporations

On February 26, 2020, the Hong Kong Finance Secretary, Paul MP Chan, announced several support measures for businesses and individuals to safeguard jobs and the economy. As a result, the Companies (Fees) (Amendment) Regulation 2020 (“the Amendment Regulation”) will come into operation on 1 October 2020 which offers a number of fee waivers and discounts for business owners in Hong Kong.

Additional support measures that the Hong Kong government has introduced for companies include:

  • Waiving registration fees for annual returns filing (unless they are delivered late) for two years. The waiver will be valid from October 1, 2020, until September 30, 2022 (inclusive of both dates) and will apply to companies who deliver their annual returns on time – within 42 days for private companies having share capital, public companies having share capital and companies limited by guarantee; and annual returns delivered within 42 days after the anniversary of registration for registered non-Hong Kong companies. Companies could save between $105 – $180.
  • Reducing incorporation fees by 10% if company incorporation is done online. From October 1, 2020, incorporation fees (not including Business Registration Fee and Levy) for companies that apply for incorporation and registration for a Hong Kong and/or non-Hong Kong company delivered through the e-Registry will enjoy a 10% discount. Fees for application and incorporation of companies range from $170 to $1,720 currently and the 10% discount takes effect from October 1, 2020, with no end date set by the Hong Kong government. The discount is not applicable for hard copy incorporations.

Hong Kong recently announced a third stimulus package totalling HK$24 billion (S$4.21 billion) as the economy starts to rebuild after its second Coronavirus wave starts to abate. HK$10 billion has been earmarked for vaccine procurement, HK$4.5 billion has been set aside to help 23 industries that have been hard hit, including F&B, tourism and travel. Lastly, HK$6 billion has been set aside for rent concessions.

For more information on how these latest measures can impact your company, contact Alpadis Group