Invest Hong Kong encourages Shanghai companies leveraging Hong Kong’s new tax policies to ‘go global’
Invest Hong Kong (InvestHK) hosted a seminar in Shanghai today (19 December 2017), encouraging Mainland companies to make use of Hong Kong’s latest change in tax policies to expand their business overseas.
The seminar, entitled “Hong Kong and Shanghai cooperation: Seizing new opportunities of Hong Kong’s new tax policies”, was organised by InvestHK in partnership with the Council for the Promotion of International Trade Shanghai. It was also supported and co-organised by the Hong Kong Economic and Trade Office in Shanghai (SHETO) of the Hong Kong Special Administrative Region (HKSAR) Government, and Shanghai Overseas Investment Development Board.
The Director-General of Investment Promotion, Mr Stephen Phillips, and the Deputy Secretary General of the Council for the Promotion of International Trade Shanghai, Ms Li Jie, delivered remarks at the event.
In his speech, Mr Phillips said, “Hong Kong offers a wide range of benefits for Shanghai businesses. The city enjoys unique advantages under ‘one country, two systems’. Hong Kong has distinct competitive edges including our geographical location, a vibrant business environment, a robust legal system, intellectual property protection, and deep, world-class financial and professional services amongst others.”
He continued, “As a leading international financial services centre, as well as the biggest asset management centre in Asia and a global offshore Renminbi centre, Hong Kong offers companies a reliable platform for fund-raising. It is an ideal location for multinational and Mainland companies to establish their corporate treasury centres (CTCs). More and more Mainland and overseas companies have already set up their presence in Hong Kong. According to the joint survey “2017 Annual Survey of Companies in Hong Kong Representing Parent Companies Located outside Hong Kong” recently conducted by InvestHK and the Census and Statistics Department, the number of business operations in Hong Kong with parent companies overseas and in Mainland China climbed to 8 225 in 2017 from 7 986 in 2016. The Government has announced new tax measures to benefit small and medium-sized enterprises in the 2017 Policy Address in October, with the profits tax rate for the first $2 million of profits set to be halved to 8.25 per cent. Last month, Hong Kong signed the Free Trade Agreement with the 10 member nations of ASEAN. The Belt and Road Initiative and the agreement signed between Hong Kong and the National Development and Reform Commission last week will further advance Hong Kong’s participation in and contribution to the Belt and Road Initiative, and offer Shanghai companies more opportunities via Hong Kong. Hong Kong will continue to play a role as a springboard for Mainland companies seeking to ‘go global’. I strongly encourage Shanghai companies to leverage on Hong Kong to embrace the new opportunities under these two national initiatives.”
The Head of the Investment Promotion Division of InvestHK in Shanghai, Ms Ada Yeung, also introduced Hong Kong’s business environment and latest tax policy on CTCs.
Other speakers at the seminar included Partner of Financial Services Industry, Tax Services, PwC, Mr Rex Ho; Manager, Tax Services, PwC, Mr Eric Gong; and the Head of the Planning of Corporate Marketing Management Division, Global Corporate Banking Department, Bank of China (Hong Kong) Limited, Mr Ken Yuen. They talked about Hong Kong’s tax incentives and advantages of setting up a CTC in Hong Kong, comprehensive professional financial services for Mainland enterprises and how to leverage Hong Kong’s tax policies to expand to overseas markets.
About Invest Hong Kong
Invest Hong Kong is the department of the Hong Kong Special Administrative Region Government established in 2000 to attract foreign direct investment and support overseas and Mainland businesses to set up or expand in Hong Kong. It provides free advice and customised services to help businesses succeed in Hong Kong’s vibrant economy. For more information, please visit www.investhk.gov.hk.
For an event photo, please visit: www.flickr.com/photos/investhk/albums/72157691027320875.