Audit of investment enterprises in Hong Kong
In Hong Kong company audit, corporate investment is also relatively common. Investment is to make full use of idle funds of the company and put them into a certain market to obtain economic benefits or capital appreciation. Common types of investment
include: buying bank financial products, buying funds, futures, stocks and investing in subsidiaries. If Hong Kong companies involved in these businesses in the audit when doing something noteworthy, let's share.
In Hong Kong, the tax ordinance states that "capital gains are not subject to profits tax", so many companies choose to use Hong Kong companies for equity investments
If you get dividend incomeNeither individuals nor businesses pay taxes on such income
If you're earning the bid-ask spreadIf the main business of a company is not investment, but the occasional investment in stocks, funds, and futures, the difference in income is not taxed. If the main business of the enterprise is to invest in stocks, funds and futures, then it still needs to further analyze the location of the stock exchange where the relevant stocks or securities are traded. If the enterprise invests in the stock exchange in the United States, the United Kingdom or mainland China, the spread income obtained is not taxable. If an enterprise buys and sells shares in the Hong Kong Stock Exchange, the income from the price difference is derived from Hong Kong, and it shall be taxed in Hong Kong.