Do I still have to keep accounting records after my Hong Kong company is dissolved?
A company dissolved by deregistration or striking off leaves its former directors one duty: under s.758 of the Companies Ordinance everyone who was a director just before dissolution must make sure the company's books and papers are kept for at least 6 years after the dissolution date, or face a level 3 fine (HK$10,000). The IRD's seven-year duty no longer applies to a dissolved corporation.
The rules differ before and after dissolution.
- After dissolution (Companies Ordinance s.758). If a company is dissolved under Part 15 (deregistration or striking off) or under sections 226A, 227, 239 or 248 of the Companies (Winding Up and Miscellaneous Provisions) Ordinance, every person who was a director immediately before dissolution must make sure the company's books and papers are kept for at least 6 years after the date of dissolution. Breach is an offence with a level 3 fine (HK$10,000). It is a defence to show reasonable grounds to believe that a competent and reliable person had the duty and could discharge it. The duty does not cover records that another person must keep under the Ordinance or another law.
- Inland Revenue Ordinance (s.51C). The seven-year business-records duty does not apply to a corporation that has been dissolved, according to the IRD.
- Before dissolution. The company must preserve accounting records for 7 years after the end of the financial year to which the last entry relates (s.377). Directors who fail to take reasonable steps face a fine of HK$300,000.
Practical steps when closing a company:
- Finalise the books, the last audited accounts and tax filings first. The IRD issues its notice of no objection to deregistration only when returns it has issued are submitted and no tax is outstanding.
- Agree in writing which former director holds the records, where, and in what format.
- Keep secure digital copies for at least 6 years from the dissolution date. Many owners keep seven years, to match the earlier duty.
This answer is general information, not legal advice.
Legal basis
- Companies Ordinance (Cap. 622), ss.377, 758
- Inland Revenue Ordinance (Cap. 112), s.51C
Sources
Applies to 2026 · Last reviewed 29 October 2026
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.
Related questions
- What accounting duties apply to a dormant company in Hong Kong?A qualified private company that passes a special resolution and files it with the Registrar becomes dormant and is exempt from preparing financial statements, a directors' report and an audit. It must still keep accounting records. If it enters an accounting transaction, the exemption ends.
- Is a Hong Kong company legally required to keep accounting records?Yes. Section 373 of the Companies Ordinance (Cap. 622) requires every company to keep accounting records that explain its transactions and show its financial position and performance at any time. Directors who fail to take all reasonable steps risk a fine of HK$300,000, and up to 12 months' jail if the failure is wilful.
- How long must a Hong Kong company keep its accounting records?Seven years. Under section 377 of the Companies Ordinance, a company must keep its accounting records for 7 years after the end of the financial year to which the last entry relates. The Inland Revenue Department separately requires business records to be kept at least 7 years after the transactions they relate to.
- What does section 51C of the Inland Revenue Ordinance require from my business?Anyone carrying on a trade, profession or business in Hong Kong must keep enough records, in English or Chinese, to work out assessable profits, and keep them for at least 7 years. Failing to do so without reasonable excuse can lead to a fine of up to HK$100,000.
- Which documents should a Hong Kong business keep for its books?Keep every document that supports an entry in your books: sales and purchase invoices, receipts, bank statements, contracts, payroll and MPF records, asset purchase papers, loan agreements, and stocktake sheets. The test is whether someone else could trace any figure back to its source.