Recently, a customer has asked us whether the accounting standard currency of a Hong Kong company must be Hong Kong dollar? Is it possible to choose other currencies? Today, I will tell you how to determine the accounting standard currency of Hong Kong company.
Recently, a customer has asked us,Hong Kong companyMust Hong Kong dollars be the bookkeeping standard? Is it possible to choose other currencies? Today, I will tell you how to determine the accounting standard currency of Hong Kong company.
As we all know, the accounting standard currency of companies in mainland China is mandatory to use RMB as the accounting standard currency. If its overseas subsidiaries use foreign currency for accounting, they must be converted into unified RMB for consolidation when preparing consolidated statements. So a lot of clients thinkHong Kong companyThe accounting standard currency must also be Hong Kong dollar, which is affected by the mainland accounting. In fact, according to Hong Kong accounting standards, the accounting standard currency of a company can be selected by the enterprise based on its own trade settlement currency. That is to say, the accounting standard currency of Hong Kong does not require the use of Hong Kong dollar, but must be used uniformly in tax calculation.
For example, the customer's main trade settlement currency is the US dollar. In this case, the US dollar can be selected as the accounting standard currency. The audit report is also issued in US dollars, but on the tax calculation page, the auditor will uniformly convert into Hong Kong dollars to calculate the tax.A large number of exchange differences can be avoided by choosing the proper accounting standard currency for your company.
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