What to do when I receive a Profit Tax Return?

Each year in April, the Inland Revenue Department will send out Profit Tax Return forms. Companies should filled out Profits Tax Return and any required supplementary forms within 1 month from the date of issue. The compliance date of submission is specified on first page of the profits tax return. It is still advised to hire a reliable tax representative to handle your accounting, auditing and returns form on timely manner.

When do I file?

Director(s) are oblige to file the Profits Tax Return every year. Any Hong Kong Limited Company has to arrange their first audit and tax filing within the first 18 months. In any cases, when the company did not receive any tax return form from Inland Revenue Department (IRD). The company should contact IRD for further information.

When a company is running lost for the year, it still needs to arrange audit report. The only time when audit is not required, is when the company is in dormant. In order to arrange account auditing, the company should prepare the sales invoice, expenses and bank statement to the auditor.

How to prepare?

A clear and tidy bookkeeping might cost you a lot of time traditionally. Over the years, some cloud-based accounting software like Xero helps many business owners to mange their books. It allows companies to view the cash flow and company status in  real-time. Also, it helps companies to go paper-less. It can generate a full set of management account (Profit and Loss and Balance Sheet) by simply clicking a few buttons.

If you are still feeling hesitate to get involve with all the book keeping and accounting. Centre O is always happy to offload your worries. As simple as a monthly bookkeeping, year-ended audit or annual profit tax return filing.

Businesses in Hong Kong need to also file the Employer’s Return to IRD annually for employees. No matter the employee rendered services in or outside Hong Kong. Definitely, Centre O is a good partner between your company and IRD. We can assist you to do your monthly account, bookkeeping, year-ended accounting audit and Employer’s Return. 

You may want to read:  http://centreo.hk/annual-service-fee-accounting-auditing-tax-filing/

For more information, please contact us sales@centreo.hk

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