HK Ltd via Osome SG — Indian SaaS Founders
Indian SaaS founders scaling into Asia-Pacific pick HK Ltd for territorial taxation and regional banking access. Osome operates the HK Ltd end-to-end for HKD 9,800+/year including company secretary, IRD filings, and annual audit.
Under HK's territorial system, IRD taxes only HK-source profits at two-tier 8.25% (first HKD 2M) / 16.5% above. Offshore-source claims possible with operational substance evidence — servers outside HK, contracts negotiated outside HK, key staff outside HK.
India side: RBI Overseas Direct Investment (ODI) rules kick in above USD 250,000 aggregate capital contribution; Schedule FA on ITR-2 mandatory.
Model the full outlay, not just the setup fee
- SetupOsome (Singapore) setup$1,650
- AnnualYear 2 renewal$1,080
What the tax authority sees
Hong Kong Ltd applies territorial taxation: IRD taxes only HK-source profits at two-tier 8.25% (first HKD 2M) / 16.5%; offshore claims possible with substance.
ODI (Overseas Direct Investment) RBI approval required for equity
HK Ltd suits Indian SaaS founders billing Asia-Pacific customers; RBI ODI still governs equity above USD 250,000 aggregate.
- 01RBI ODI filing required above USD 250,000 aggregate capital contribution
- 02HK IRD two-tier 8.25%/16.5% on HK-source profits
- 03Schedule FA disclosure on Indian ITR-2 mandatory; Black Money Act INR 10 lakh penalty
- 04IRD BEPS 2.0 enhanced substance rules from 2024
From filing to funded bank account
Hong Kong Ltd vs UAE Free Zone (MEYDAN)
FAQ
HK Ltd: no local director required, faster formation (10-14 days), two-tier 8.25%/16.5%. Singapore Pte: local resident director required, 17% flat CIT with startup exemptions (75% exemption on first SGD 100k), better global brand. For solo Indian founders without an SG resident on hand, HK is easier.
Start filing with Osome (Singapore)
Formation typically completes in 2–3 weeks. Use the promo below, then click through to begin the checklist directly on the platform.