Issue of Profits Tax Return & Filing Deadline
- Once a company has been incorporated for 18 months, the IRD would issue the first profits tax return to the Company. Thereafter, the IRD will issue the return on April 1 every year.The IRD requires the Company to submit the return with audited financial statements and profits tax computation within one month from the date of issue.
- The filing due date can be extended according to the company’s accounting year end date:
Accounting year end date falling into: Extended filing due date April 1 to November 30 April 30 (of the next year) December 1 to December 31 August 15 (of the next year) January 1 to March 31 November 15 (same year) Each company may decide its own accounting period/year end date which can be any period of 12 months.
- If the first set of accounts is made up for a period in excess of 12 months, the Company may need to file more than one Profits Tax Return with the profits apportioned according to certain rules.
- A company not having commenced any business or generated any taxable profits in a year of assessment also has to file a return to IRD on time if requested to do so.
- According to the Hong Kong Companies Ordinance, the directors of a company are responsible for preparing financial statements with auditors’ report for presentation in Annual General Meeting, i.e. a company must have the financial statements audited even Profits Tax Return filing is not required.
