Do I need to pay Hong Kong Salary Tax ?

5 mins read  l  Published: February 7, 2025  l  Updated: February 7, 2025 

Do I need to pay Hong Kong salary tax if i receive salary as a director or shareholder of a Hong Kong limited company ?

In Hong Kong, the requirement to pay salary tax depends on several factors, including the duration of your stay and the nature of your income.

Duration of Stay: If you stay in Hong Kong for less than 60 days in a year, you may not be subject to salary tax on income earned from services rendered during that period, provided that the services are performed while you are outside Hong Kong.

Company Director or Shareholder: If you are a director of a company, you are still considered an employee for tax purposes. However, if your duties are performed outside Hong Kong and your stay is less than 60 days, you may not need to pay salary tax.

Source of Income: Hong Kong operates on a territorial basis, meaning that only income sourced from within Hong Kong is taxable. If your earnings are derived from services performed outside Hong Kong, they are generally not subject to salary tax.

Consultation Recommended: Tax situations can be complex, especially for directors and shareholders. It’s advisable to consult a tax professional or the Hong Kong Inland Revenue Department for specific advice tailored to your circumstances.

For more information, please refer to the "HK Government Article - How to Report Income in Your Tax Return".