Hong
Kong set to get boost from EU tax directive making Hong Kong Company
Formations more attractive.
Released on
= August 3, 2005, 4:02 am
Press Release
Author = Healy Consultants
Industry = Financial
Press Release
Summary = New EU banking regulations expected to result in increased
flow of capital to Asian offshore jurisdictions, making Hong Kong
a perfect place for an offshore company incorporation.
Press Release
Body = Hong Kong looks set to be a key beneficiary of a new EU ruling
which took effect at the beginning of this month.
The EU Savings
Directive, which came into effect on July 1, obliges financial institutions
in all EU member states to either disclose tax and bank information
to
the relevant tax authority, or charge clients a hefty withholding
tax.
Though the new
directives will specifically affect EU residents, a number of banks
in ‘tax havens’ have also agreed to exchange customer
information, including Jersey, Guernsey, the Isle of Man, the British
Virgin Islands, the Cayman Islands, Switzerland, Liechtenstein,
Monaco and San Marino.
The reputation
of discretion for some of these countries is being eroded. Since
July 1, in order to keep details of their wealth private, bank customers
now have the option of paying a withholding tax which will be levied
directly in the country in which their savings are held. This will
be charged at a rate of 15 per cent for the first three years, 20
per cent for the following three years, and 35 per cent from
2011 onwards.
The result,
say analysts, is a movement of money away from these countries and
into secure offshore jurisdictions in Asia, such Hong Kong.
Hong Kong has
long enjoyed a reputation as a secure, tax-free and highly respectable
jurisdiction for international banking and company incorporation.
With this latest development from Europe, Hong Kong company formation
and corporate and personal
banking options are becoming more popular with international businesses
and high net worth individuals.
Since Hong Kong
is neither a signatory to the EU directive, nor agreeing to cooperate
with the Organisation of Economic Cooperation and Development (OECD),
it looks set to gain even further.
Healy Consultants
managing director Aidan Healy said: “We have witnessed a trend
of capital flow from Europe and the US to Asia, as a result of the
threat to client confidentiality posed by OECD pressures on tax
haven countries. “Consequently, we are now seeing a significant
upturn in demand for Hong Kong companies and corporate bank accounts
from our clients,” he added.
More Information
on Hong Kong Company Formations:
http://www.healyconsultants.com/company-incorporation/hong-kong-company-incorporation.html
Why Set up a
Hong Kong Offshore Company:
http://www.healyconsultants.com/company-incorporation/hong-kong/hong-kong-offshore-company.htm
How to Set up
a Company in Hong Kong:
http://www.healyconsultants.com/company-incorporation/hong-kong/set-up-a-company-in-hong-kong.htm
Hong Kong Company
Registration Process:
http://www.healyconsultants.com/company-incorporation/hong-kong/hong-kong-company-registration.htm
Web Site = http://www.healyconsultants.com
Contact Details
= Healy Consultants at: Tel: (+65) 67350120
info@healyconsultants.com Address: #05-11 Thong Teck Building, 15
Scotts Road,
Singapore 228218
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