Hong Kong: Compliance

Hong Kong Inland Revenue Department (IRD) enquiry letters are typically sent to owners of Hong Kong offshore limited companies following the submission of a Profits Tax Return to notify them that the IRD has chosen to formally investigate their tax affairs

Hong Kong is poised to significantly expand its competition law enforcement regime through three major reforms: granting the Competition Commission compulsory information-gathering powers...

Hong Kong phases out its Electronic Shroff Card at betting branches while South Korea blocks Polymarket as illegal gambling and tightens regulation of claw machines. Vietnamese-based illegal gambling operations face prosecution as Asian jurisdictions intensify enforcement across digital and physical gaming platforms.

AI-enabled fraud and financial crime are evolving at unprecedented speed, outpacing traditional defenses. While regulatory cooperation is strengthening, organizations must build resilience through cultural foundations, governance redesign, and human-centered risk management rather than relying solely on technology or crisis response.

Hong Kong's Legislative Council has introduced significant amendments to its family office tax concession framework, fundamentally reshaping how family-owned investment holding vehicles qualify for preferential treatment.

Hong Kong's uncertificated securities market regime, launching November 2026, eliminates paper share certificates for listed securities, requiring electronic title holding through approved registrar systems. Cayman Islands and Bermuda issuers must transition within five years, necessitating constitutional document amendments and new operational procedures. Companies need to appoint approved securities registrars, plan shareholder approvals, and ensure compliance before their assigned transition dates.

Over 70% of Hong Kong executives see economic shift as the most critical risk in the next 12 months, according to AlixPartners Global Risk Survey.

In the ever-evolving business world, legal issues are an inevitable challenge that organizations must navigate to ensure compliance, mitigate risks, and safeguard their interests.

Multi-jurisdictional investigations present numerous challenges and require careful management of the risks that arise. This chapter provides an overview of the issues that may occur throughout the duration...