In Hong Kong, an audit is not optional — it is a mandatory procedure for most companies.
An audit is required if:
The company is registered in Hong Kong and has existed for more than one year
The company carried out business activities or had account transactions
The company did not carry out activities but must formally confirm this
Financial and tax reporting must be filed
The company works with banks or payment service providers
Even if there were no operations, the company must complete an audit in the no activity format. We determine the required audit format in advance based on your situation.
Which Companies Need an Audit in Hong Kong
Companies with international operations
IT and service companies
Trading and holding structures
Companies with no activity
Companies before changing a bank or opening an account
Companies after their first year of operation
Documents Required for a Company Audit in Hong Kong
A standard set of documents is required to conduct an audit. The exact list depends on whether the company had activity and what transactions were performed.
We determine the required documents in advance and assist with preparation.
The company’s incorporation documents
Financial statements for the reporting period
Bank statements for the company’s accounts
Contracts with clients and counterparties (if applicable)
Invoices and transaction confirmations
Accounting records and primary documentation
For no activity companies, the document set is minimal and serves to confirm the absence of operations.
If some documents are missing or imperfect, this is not critical. We help bring the data into proper order and support the process through completion.
Audit of Active and Inactive Companies in Hong Kong
The audit format depends on whether the company carried out activities during the reporting period.
An active company audit is required if there were
Financial transactions
Bank movements
Contracts with clients or suppliers
In this case, the audit confirms the accuracy of the financial statements and is used for tax filings and banking purposes.
An inactive (no activity) company audit is required if the company officially had no operations. Even without transactions, this status must be confirmed through an audit.
We determine the company’s status in advance and select the appropriate audit format to avoid unnecessary questions from regulators and banks.
How an Audit Is Connected to Tax Reporting in Hong Kong
Audit and tax reporting in Hong Kong are directly linked.
The audit report is used when filing the tax return and confirms the company’s financial data.
Without a completed audit:
It is not possible to properly close the reporting period
Risks arise when submitting tax filings
Questions may arise from tax authorities and banks
We structure the process so that the audit and tax filing proceed in sync, with a clear understanding of each step.
What Happens If an Audit Is Not Completed on Time
Delays in completing an audit can lead to consequences, even if the company had no active operations.
Fines and administrative penalties
Difficulties with tax filings
Questions from banks and payment service providers
Delays in ongoing corporate maintenance
We recommend starting audit preparation in advance to complete the process calmly and without deadline pressure.
How the Audit is Conducted
The audit process is structured into clear stages. We guide you through every step and keep you informed of progress.
Analyze the company and its operations
Determine the audit format
Collect and prepare documents
Conduct the audit
Issue the audit report
Provide recommendations based on the findings
You don't need to deal with the details or control the process — we take care of it.
Service Cost
The audit cost depends on the company’s structure and scope of work. We outline realistic timelines in advance and finalize them before work begins.
Audit of a dormant company and filing of profits tax return