According to the Hong Kong Companies Ordinance (Cap. 622-379), all directors of Hong Kong limited companies must prepare financial statements for each financial year, otherwise fines will be incurred.
Every limited company in Hong Kong must submit the Profit Tax Return with an audit report issued by a certified public accountant in Hong Kong. This audit report must be accompanied by the guidelines issued by the Hong Kong Institute of Certified Public Accountants and attached with its opinions.
K&S experienced in handling audit services for different industries and business.
Let the work achieve efficiently.
A limited company's audit report included:
- Profit and Loss Account for the financial year
- Balance sheet as the last date of the financial year
- Reports written by certified public accountants and independent opinions
- Calculation of tax payable
In addition, it also involved form filling of profits tax, employers' salary and retirement tax returns, tax investigations, field audits, etc.
According to Article 51C of Hong Kong (Inland Revenue Ordinance), every person operating a certain industry, profession or business in Hong Kong must keep adequate records of his income and expenses in English or Chinese for at least 7 years. So that its assessable profits can be easily determined.
Failure to comply with the provisions of the tax regulations
without reasonable excuse, the maximum fine is $100,000
Why K&S for your accounting & bookkeeping:
- Lower cost than an account staff but with more functions
- Is the company makes profit?
- Well understand about expenditure and the portion of costs
- Understand the assets status
- Monitoring the cashflow
- Well prepare on cashflow forecast
- Pay less on auditing with a higher efficiency
Profit and Loss Account
Based on the information provided by the customer, calculate the customer's profit (or loss) for a certain period of time, and list the total sales, purchase, and various miscellaneous expenses.
Prepared by monthly, quarterly, half-yearly or annually; and also tailor made for a specific period as needed.
To calculate the company's actual account balance based on the balance of company bank account and compared with cheque issued.
Draw from other funds when the company's account is not sufficient for the cheques issued and company's daily expenses.
To list the value of the company on a certain day clearly. It is generally composed of the company's equity, bank balances and cash, closing inventory and accounts receivable, minus the accounts payable and debt.
The balance sheet will be set as the last day of the Profit and Loss Account.
Accounts Receivable / Accounts Payable
Whether a company is healthy, a healthy capital flow is one of the key points
Our accounting service will calculate the company's accounts receivable and accounts payable on such day
Classify all the expenditures and income and record in the corresponding ledger.
It is beneficial to track the details of items, and make the auditor to verify each transaction more clearly.
Wages calculation / pay
Other than fixed salary in some industries or works, commissions, working hours or bonus, etc., which need to be calculated one by one (maybe involved cheques issue, etc.)
Our accountants can do it for you.
Customers may need to check the inventory due to different reasons.
Mainly for the audit report requirements; and also to understand the company's existing inventory in terms of types and quantities in order to make corresponding strategies.
Unlimited Company/ Personal Tax
The Inland Revenue Department sends Tax Return to taxpayers in May of each year generally. Not only employees and self-employed persons, but also the Sole proprietorship unlimited company must report the company's business status on their Personal Tax Return.
According to the Inland Revenue Department, without any relationship of master and servant, if your income is derived from the buying and selling of goods, or from providing professional or personal services, you are considered as carrying on a trade, business or profession and a self-employed person.
A self-employed person may be a sole proprietor or a partner of a partnership business. As a self-employed person, you are chargeable to profits tax on the assessable profits of your sole proprietorship or partnership business.
The profits tax payable is composed of the income earned and deducting business-related expenses and items at the standard tax rate (15%) in the tax year.
Self-employed persons can also choose to pay taxes in personal assessment.
Our accountants will provide professional advice based on the actual situation