In running a business in Hong Kong, being in a position to stay on top of Hong Kong tax deadline 2024 will avoid penalties and stay in compliance with local regulations. Hong Kong is considered business-friendly in its tax environment; however, like any jurisdiction, it has respective tax deadlines for filing. The business owner and other individual taxpayers in Hong Kong should know the dates of the year in which taxes fall due and the deadlines for 2024 to operate smoothly.
In this article, we will go over all that you should know when it comes to Hong Kong tax deadlines, such as the Hong Kong tax filing deadline, corporate tax return due date, profit tax return deadline, and other important dates for 2024.
Key Hong Kong Tax Deadlines for 2024
Following is a quick summary of the key deadlines relating to taxes in Hong Kong tax deadline 2024:
- Hong Kong Individual Tax Filing Deadline: May – June 2024 (1 month from the date of notice)
- Hong Kong Company Tax Return Due Date: Usually August 15, 2024, but 1 month from the date of receipt of the tax return notice
- Hong Kong Profit Tax Return Due Date: August 15, 2024, but 1 month from the date of receipt of tax return notice
- Hong Kong Tax Return Due Date: Varies Depending on Business’s Financial Year-End
Hong Kong Tax Deadline 2024 – Key Dates for Filing and Compliance
Hong Kong Corporate Tax Return Due Date
One of the most important deadlines for companies is the due date of the Hong Kong corporate tax return. Companies operating in Hong Kong are required to submit annually a tax return to the IRD, usually based on the financial year-end of the company concerned and a notice provided by the IRD. Typically, one month after the financial year-end of a company, the IRD issues forms of tax returns to companies.
- For companies whose financial year ends on December 31, the due date for the corporate tax return is August 15, 2024.
- For companies whose financial year ends on March 31, the due date is usually August 15, 2024, or 1 month from the actual date of issue of the tax return, whichever is later.
It is important to note that Hong Kong company tax returns are to be filed whether the company is profit-making or otherwise. The penalty will be imposed on non-filling; hence, necessary attention must be given to making the submission before the deadline so as not to incur unproductive fines.
Stay Ahead of Deadlines – Know the Hong Kong Corporate Tax Return Due Dates for 2024
Hong Kong Tax Filing Deadline for Individuals
Another equally important deadline for individual taxpayers in Hong Kong is the Hong Kong tax deadline 2024. Individual taxpayers in Hong Kong are required to submit their personal tax returns to the IRD on an annual basis. The due date is usually within 1 month from the date of issue of the tax return.
- For the 2023-2024 tax year, the usual Hong Kong tax return deadline for individuals will be in early June 2024.
- If the taxpayer has more than one source of income, operates a business, or needs to have additional deductions, it is prudent that the return be filed as soon as possible after receipt. Late filing attracts some surcharges.
Those taxpayers who wish to file their returns online may do so through the IRD electronic services platform known as eTax. Filing online is often easier and more efficient, getting approved faster.
Keep Track of Hong Kong’s Tax Filing Deadlines – Stay Compliant and Avoid Penalties for 2024
Hong Kong Profit Tax Return Deadline
In Hong Kong, all businesses have to file a profit tax return with details of earnings and expenses, which forms the basis of corporate tax payable for the company. The due date for Hong Kong Profit Tax Return is based on the accounting year-end of the company.
If the financial year for a company, for instance, ends on 31st March 2024, then the due date for submitting the return of profit tax usually falls on 15th August 2024, or one month from the notice issued by IRD. It is of paramount importance that businesses are very careful with reporting actual profit and follow requirements laid down for Hong Kong’s profit tax return in order to avoid any delay or penalty.
IRD allows for an extension for those needing extra time to file; however, it should be applied for in due time. Failure to file a return of profits tax on time may attract interest, penalties, and other problems during the future filing of taxes.
Hong Kong Tax Return Deadline Extensions
If one cannot file a tax return on time, an extension can be applied for. For example, regarding the due date of Hong Kong corporate tax return, assuming that your Hong Kong corporate tax return is soon to reach its due date and you are not ready yet due to some outstanding documents, you can ask the IRD for an extension.
- Generally speaking, extensions to corporate income tax returns are allowed, given the request is made on or before the due date.
- For individual returns, there are automatic extensions available if represented, but it need to be approved by the IRD;
Note, however, that an extension is given on a case-to-case basis. The usual approach the IRD makes is to ask for supporting documents or the reason why the extension is sought. Request an extension of time quite well in advance to avoid late filing penalties.
Mark the Date – Hong Kong Tax Return Deadline 2024
Common Penalties for Late Tax Filing
Hong Kong is very strict when it comes to the deadline for taxes. Anyone who fails to pay by these deadlines will be heavily penalized. The penalties include:
- Late filing penalty: In case of missing the deadline for filing your taxes, you can be fined a penalty from $1,200 HKD for the first month and onward.
- Interest charges: In addition to the penalties, interest will also be levied against late tax payments due post the date of submission.
Hence, companies and people are advised to stay well ahead of the deadlines while filing their taxes and submitting all the necessary documents on time.
Hong Kong Tax Year Dates
One major confusion to many taxpayers is the fact that a tax year differs from a calendar year. Hong Kong has an uncommon schedule; its tax year starts on April 1st and covers up to March 31st of the following year. It would mean that the 2024 tax year will start on April 1, 2024, up to March 31, 2025.
Where persons are concerned, their Hong Kong tax year means the period against which their income is earned. However, in businesses, it is against the accounting period, which may not exactly coincide with the Hong Kong tax deadline 2024. In this case, they have to file according to the dates of the Hong Kong tax deadline 2024.
Hong Kong Tax Year: April 1 to March 31 – Plan Your Filing Dates
Conclusion
With One IBC Hong Kong, compliance with the Hong Kong tax deadline 2024 is one of the most key aspects for businesses and individuals operating. The Hong Kong tax filing deadline and the due date for a corporate tax return, in respect of corporate taxes or personal income tax, shall be part of other relevant deadlines one must follow in order to manage taxes effectively.
This may entail minimal planning well in advance or seeking professional advice where necessary to avoid headaches relating to delays and penalties. The ability to pay your taxes in advance will go a long way in enabling your business to grow and reduce problems pertaining to tax payments. You should always remember the Hong Kong profit tax return deadline so that your business is on top and does not run afoul of the Inland Revenue Department.
