| This is a jurisdiction that may have a few | | | | reduce the possibility of money laundering , |
| small features regarding taxation but when it | | | | the Hong Kong Monetary Authority ordered |
| comes to privacy it is most deficient.One | | | | banks to record whether Yuan deposits are |
| disadvantage of Hong Kong companies is that | | | | made in cash, or via the conversion of other |
| annual financial statements must be prepared, | | | | currencies. So they are watching and |
| audited and presented to the Government to | | | | recording the inflow of foreign currencies, |
| prove that the company did no business in | | | | not good.It also urged the financial |
| Hong Kong and therefore owes no taxes. Such | | | | institutions to keep track of multiple |
| statements must be presented within 18 months | | | | accounts opened by the same customer, and to |
| of the date of incorporation. This is our | | | | ensure that the 20,000 Yuan per day exchange |
| opinion is grounds for finding a friendlier | | | | limit is not breached by spreading the |
| jurisdiction.One has no idea where this | | | | transactions across several accounts.Note |
| information that you file is going to wind | | | | this exchange limit is about $2500.00 |
| up. More trouble follows:Directors and | | | | dollars, fairly small and privacy |
| Shareholders are in both the Government and | | | | invading.Hong Kong is in Mutual Legal |
| Public record, note we said shareholders. No | | | | Assistance Treaties read one with the USA |
| privacy here. There is no requirement to | | | | right here: Kong authorities can freely order |
| report the Beneficial Owner to the | | | | financial institutions to report customer |
| Government, if nominees are used but if he or | | | | identities, etc.The Joint Financial |
| she wants to be a shareholder as one should, | | | | Intelligence Unit can release information to |
| then the privacy is gone out the window. No | | | | foreign governments freely with the |
| bearer share companies here.Another negative | | | | understanding that the information will only |
| is that the company must have a Secretary | | | | be used for investigations not as evidence |
| resident in Hong Kong, think more expense | | | | which would require additional requests for |
| unnecessarily.There are no anonymous bearer | | | | permission. This is just red tape and will be |
| share corporations in Hong Kong.Banking is | | | | approved. This is not a privacy jurisdiction |
| not encouraging in Hong Kong.In order to | | | | and we see no advantages to using Hong Kong. |