Profits tax
Profits tax for corporations is 8.25% on the first HKD 2,000,000 of assessable profits and 16.5% on the rest; for unincorporated businesses (sole proprietorships and partnerships) 7.5% then 15%. Only one entity among connected entities may use the two-tiered rates. Hong Kong has no VAT or sales tax. Reference: Inland Revenue Department of Hong Kong, Profits Tax.