HK Ltd via Osome SG — Japanese SaaS Founders
Japanese SaaS founders scaling into Asia-Pacific form HK Ltd companies for territorial taxation and regional banking. Osome operates the HK Ltd with company secretary, IRD filings, and annual audits for HKD 9,800+/year.
Under HK's territorial system, IRD taxes only HK-source profits at two-tier 8.25% (first HKD 2M) / 16.5%. Offshore-source profits (income from Japan or other non-HK jurisdictions) can claim exemption with operational substance evidence.
Japan side: NTA Anti-Tax Haven Rules under the Act on Special Measures Concerning Taxation attribute controlled foreign entity income if HK effective tax rate is below 20% — HK's two-tier 8.25% falls within scope for controlled entities.
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 the two-tier rate 8.25% (first HKD 2M) / 16.5% (above); offshore claims possible with substance evidence.
National Tax Agency treats worldwide income; foreign subsidiaries reportable under CFC rules (Anti-Tax Haven Rules, Act on Special Measures Concerning Taxation).
HK Ltd suits Japanese SaaS targeting Asia-Pacific; NTA Anti-Tax Haven Rules attribute income if HK entity taxed below 20% effective.
- 01NTA Anti-Tax Haven Rules (Act on Special Measures Concerning Taxation) attribute income if effective rate below 20%
- 02HK IRD two-tier 8.25%/16.5% on HK-source; offshore claim requires substance
- 03Japan CFC filing on Form 別表 requires disclosure of foreign subsidiaries
- 04IRD BEPS 2.0 enhanced substance rules from 2024
From filing to funded bank account
Hong Kong Ltd vs UAE Free Zone (MEYDAN)
FAQ
NTA Anti-Tax Haven Rules under the Act on Special Measures Concerning Taxation attribute income of low-taxed foreign subsidiaries (effective rate below 20%) to Japanese parent. HK's 8.25% two-tier falls within this scope. Attribution occurs unless HK Ltd meets active-business exemption tests (bona fide operational substance).
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.