Profit Tax Return Hong Kong – Case Study

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Every Hong Kong company must file the PTR (Profit Tax Return). Here is a case study regarding the PTR.



Could you tell me for which dates I should send the invoices? From incorporation date (30 Aug 2013) to end of year 2014? Or all the invoices up to now?

Also, bank statements for which period?

Besides invoices and bank statements I will provide SOWs shortly. Could you tell me if there is anything more you need from me?

Also, since the end customer is in Japan (even though our direct client Visigon is a Hong Kong company) we would like to claim “offshore profit”, please see the earlier email from William pasted here below.

Best Regard


Accountant/Auditor’s replay:

Dear XXX,

Please note that firstly you need to determine the financial year ended date of the company. May I suggest you choose 31st December 2014 to be your financial year end date. The first audit will then cover a period from the 30th August 2013 (date of incorporation) to 31st December2014.

As your company has been commenced business, you need to prepare the following documents (up to 31 December 2014):

  • All consulting service invoices;
  • All subcontractor’s invoices;
  • All expense receipts;
  • All bank statements;
  • General ledger and management account (i.e. Trial Balance, Balance Sheet and Income Statement). If this one you cannot provided, we can provide bookkeeping service to handle it.
As you want to claim offshore profit.  IRD will issue an offshore claim queries letter to you for the proof by providing the passport of the directors/ sales representatives and some samples of service fee invoices, contracts/agreements.  We shall provide the professional service for answering this offshore tax queries to you. Please be reminded that the successful of offshore profit claim is subject to IRD’s final judgment.
Once received your documents, we will provide you a quotation of audit fee.
Should you have any question, please feel free to contact us.
Best regards

Startupr is not a CPA (Certified Public Accountant, registered HKICPA – Hong Kong Institute of Certified Public Accountants) firm. CPA services are provided by independent CPA firms.

Startupr is merely acting as an agent in connecting your company and the CPA who has agreed with us that they will provide auditing services. In no way is Startupr acting as a CPA firm or providing auditing service in any way and your solicitor-client relationship is with the CPA and not Startupr. CPA is independent of Startupr and is not an employee of Startupr.