Hong Kong Employers’ Filing Obligations: Are You Following the Rules?

Dear Friends,

Are you a business owner and an employer in Hong Kong?

There are different filing obligations that you must attend to. While some requirements may seem straightforward, there are others that deserve a closer look.

Every year, you must file an Employer’s Return – also known as Form BIR56A – with Hong Kong’s tax authority, the Inland Revenue Department (IRD). The form contains details, such as employee salaries, benefits, deductions, and allowances.

The IRD usually sends out the Employer’s Return on the first working day of April every year. You’re required to fill it in and submit it along with Form IR56B, which must be completed for each of your employees, within one month of receiving it.

But that’s not all.

Here are some other obligations you should keep in mind to stay on top of compliance requirements.

???It’s essential to maintain accurate and up-to-date payroll records for each of your employees. These must be retained for at least seven years. Having precise and accurate records will help speed up the filing process and ensure that the information being reported is accurate.

?? You must let the IRD know if there are any changes to an employee’s personal particulars or terms of employment, for example, if he/she changes from part-time to full-time employment.

?? Even if you don’t hire any employees, or business hasn’t started or has shut down, you’ll still need to file an Employer’s Return within one month of receiving it.

??? You’re required to complete and submit additional forms for new employees, employees leaving Hong Kong, and terminated employees to the IRD.

?For further information on staying compliant, take a look at our guide Employer’s Return in Hong Kong: What You Need to Know

Navigating the host of filing obligations can be challenging when your focus is on your business. With more than 30 years’ experience and professional expertise, we can help you stay fully compliant with all regulations. Send us a message if you’d like to find out how we can assist in lightening your compliance burden.

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