How much does it cost to form a Hong Kong limited company? 2026 government fees, legal requirements and first-year costs
A Hong Kong local limited company must meet four basic requirements under the Companies Ordinance (Cap. 622): at least one director, one shareholder, a company secretary and a registered office in Hong Kong.
Government fees cover incorporation at the Companies Registry and business registration at the Inland Revenue Department. Incorporation costs HK$1,545 if filed electronically or HK$1,720 on paper. A one-year business registration certificate costs HK$2,350 (fee HK$2,200 plus levy HK$150). After incorporation, the company must file an annual return, renew its business registration and have its accounts audited by a certified public accountant every year.
Trust or Company Service Provider Licence TC008771 · Updated: November 2026
Hong Kong law sets out how a limited company must be constituted, and the Government charges fixed fees. This article sets out the legal requirements, the government fees on formation and the costs that recur every year.
What are the legal requirements for forming a limited company?
Under the Companies Ordinance (Cap. 622), a local private company limited by shares must have:
| Requirement | Detail | Provision |
|---|---|---|
| Director | At least one, at least one of whom must be a natural person | s.457(2) |
| Shareholder | At least one; may be the same person as the director | — |
| Company secretary | An individual ordinarily resident in Hong Kong, or a body corporate registered in Hong Kong | s.474 |
| Registered office | A physical address in Hong Kong, not a post office box | — |
One point deserves particular attention: the sole director of a private company may not also be its company secretary (s.475(2)). A so-called one-person company must still appoint a separate company secretary.
The Companies Registry does not require a local director or shareholder. Non-residents may form a local company, and the company may be wholly foreign-owned.
What government fees are payable on formation?
Two government fees apply: the incorporation fee at the Companies Registry and the business registration fee at the Inland Revenue Department.
| Item | Electronic | Paper |
|---|---|---|
| Companies Registry incorporation fee | HK$1,545 | HK$1,720 |
| Business registration (one year) | HK$2,350 | HK$2,350 |
| Total (one-year business registration) | HK$3,895 | HK$4,070 |
| Business registration (three years) | HK$6,170 | HK$6,170 |
| Total (three-year business registration) | HK$7,715 | HK$7,890 |
The one-year business registration fee of HK$2,350 is made up of a fee of HK$2,200 and a Protection of Wages on Insolvency Fund levy of HK$150, and applies to certificates commencing between 1 April 2026 and 31 March 2027. The three-year certificate costs HK$6,170 (fee HK$5,720 plus levy HK$450), not three times the one-year amount.
When a company is formed through the Companies Registry’s one-stop service, the business registration fee is paid together with the incorporation application, and the certificate takes effect from the date of incorporation.
These are government fees, which no service provider can reduce. Service providers’ fees (for incorporation, company secretary or registered office services) are charged separately.
What statutory costs recur every year?
After formation, a company must meet the following obligations every year:
| Obligation | Deadline | Government fee |
|---|---|---|
| File the annual return (NAR1) | Within 42 days after the anniversary of incorporation | HK$105 |
| Renew business registration | Before the certificate expires | HK$2,350 (one year) |
| Audit | Every financial year | Charged by a certified public accountant (not a government fee) |
| File the profits tax return | As issued by the IRD | Depends on assessable profits |
| Keep the significant controllers register | Ongoing | — |
With the annual return filed on time and a one-year business registration renewal, the basic government cost is HK$2,455 a year.
What happens if the annual return is filed late?
The registration fee rises with the delay:
| Time after the return date | Fee |
|---|---|
| Within 42 days | HK$105 |
| More than 42 days, up to 3 months | HK$870 |
| More than 3 months, up to 6 months | HK$1,740 |
| More than 6 months, up to 9 months | HK$2,610 |
| More than 9 months | HK$3,480 |
The higher fee is the total for that band, not an amount added to HK$105. Paying it does not remove liability: the company and its responsible officers may still be prosecuted.
Which first-year obligations are easily missed?
- Audit. Unless the company has been declared dormant under the statutory procedure, its accounts must be audited by a certified public accountant every year. Simplified reporting for small private companies is not an exemption from audit.
- The first profits tax return. The IRD usually issues the first return about 18 months after incorporation, and it must be filed within 3 months of issue. Not having received a return does not remove the duty to keep records.
- Business records. These must be kept from the date of incorporation and retained for at least 7 years.
- Significant controllers register. The company must keep a register of the persons with significant control over it.
- First financial year. The first accounting period may exceed 12 months but may not end more than 18 months after incorporation.
What should be prepared before forming a limited company?
- Choose the company name and check that it is not the same as an existing name.
- Decide the director(s), shareholder(s) and company secretary; a one-person company must appoint a separate secretary.
- Arrange a registered office in Hong Kong.
- Prepare identity documents and proof of residential address for each director, shareholder and significant controller.
- Decide between electronic and paper filing, and between a one-year and a three-year business registration.
- Plan the first year’s bookkeeping and audit in advance.
WS ICON holds a Trust or Company Service Provider Licence (TC008771). We handle limited company incorporation and provide company secretary, significant controllers register and accounting and audit services, so that your company meets its statutory obligations on time each year. For enquiries, call 2102 7172.
Laws, fees and deadlines in this article reflect public information as at November 2026, from the Companies Registry, the Inland Revenue Department’s Business Registration Fee and Levy Table (1 April 2026 to 31 March 2027) and the Companies Ordinance (Cap. 622). Laws and fees may change; the relevant departments’ announcements prevail. This article is general information, not legal or tax advice.
