In this course · 9 of 9
Course 3
Profits tax for online sellers
9 lessons · 9 min
- 1Is there VAT or sales tax on online sales in Hong Kong?
- 2What profits tax rates apply to an online store in Hong Kong?
- 3How and when does an online seller file profits tax returns?
- 4Can a new online store carry forward its trading losses?
- 5Does server location decide whether e-commerce profits are taxed in Hong Kong?
- 6What evidence does the IRD want for an offshore profits claim for an online store in Hong Kong?
- 7Can a Hong Kong trading company claim offshore profits if it buys in mainland China?
- 8What penalties apply if an online seller files an incorrect or late profits tax return?
- 9How can a Hong Kong company get a tax residency certificate for Amazon or other platforms?
The short answer
Apply to the Inland Revenue Department (IRD) for a Certificate of Resident Status if the company is ordinarily managed and controlled in Hong Kong. Platforms such as Amazon may also ask for tax information on a W-8BEN-E form, which is a US form, not a Hong Kong one.
Foreign platforms and payment providers may ask a seller to confirm where it is tax resident. For a non-US company selling through a US platform, that is often done by completing a US tax form (W-8BEN-E) with the company's details and a taxpayer reference. These forms are issued by the US tax authority, not Hong Kong, and the questions are about the company, so the IRS instructions apply.
In Hong Kong, the IRD issues a Certificate of Resident Status to a company that is resident in Hong Kong for the purposes of a comprehensive double taxation agreement. A company is generally resident if it is incorporated in Hong Kong, or incorporated elsewhere but normally managed or controlled in Hong Kong. The certificate is requested from the IRD, and a fee and processing time apply.
A business registration number and company registration number are not the same as a tax identification number in other countries. The IRD page explains how to apply and which agreements Hong Kong has concluded.
Legal basis and sources
The law
- Inland Revenue Ordinance (Cap. 112), s.49 (double taxation relief)
General information for business owners, not legal, tax or professional advice. Rules change, so check the sources or ask a licensed professional before you act.
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