It is easy to set up a limited company in HK. This is one of the many sites that offer the service at the click of a button. I am thinking of using a corporation to hold property in HK and possibly China. I have been told that it is possible to use a HK-registered company as a way of getting around the restrictions on foreign ownership of apartments in Shenzhen, Beijing and Shanghai. I have not been able to establish this with complete certainty as Chinese estate agents are not famous for their detailed understanding of local ordinances elating to foreign ownership.
HK is a very attractive jurisdiction on account of its Common Law tradition, English Language basis and low-tax policy. Corporate taxes are applied only to activities within HK itself, so establishing a HK company to do business in China should not result in any tax payable to HK authorities.
Costs are reasonable, although financial reporting requirements are quite strict, at the moment. I am holding back from spending more money on another overseas incorporation now, but if anyone would like to share the costs of a corporate veil then please get in touch.
I have always been enthusiastic about ownership of residential property through a corporate structure. I now believe that HK incorporation would have been a better bet for me than UK incorporation, but there is no point in crying over spilt milk, or sunk costs.
