Hong Kong vs South Korea

You register a private company limited by shares with the Companies Registry and obtain the Business Registration Certificate from the Inland Revenue Department through the one-stop service. The company gets a Certificate of Incorporation and a business registration number; there is no minimum share capital.

Foreign-invested companies register with the court commercial registry (searchable via IROS) and report the investment under the Foreign Investment Promotion Act; a stock corporation (jusik hoesa) is common. A business registration certificate from the tax office follows.

For a personal account you need a valid passport or HKID, proof of address and, for non-residents, income and banking references. A company account requires the Certificate of Incorporation, Business Registration Certificate, Articles of Association and identity/address checks on every director and beneficial owner. Hong Kong has no foreign-exchange controls, but non-residents should expect enhanced due diligence (rules tightened in 2026). The HKMA regulates banks and the Deposit Protection Scheme covers eligible deposits.

Korean banking is highly digital. Foreign residents can open accounts, generally needing an alien registration card (ARC); some banks limit features until you have residency. The Bank of Korea is the central bank.

Hong Kong is one of the world's freest economies for foreign investment, promoted by InvestHK. There is no foreign-investment screening, no exchange controls, near-total foreign ownership, and a simple low-tax system. Capital and profits move completely freely, making it a leading base for regional holding and trading companies.

South Korea actively attracts FDI through Invest Korea (KOTRA) under the Foreign Investment Promotion Act. Most sectors are open with a short restricted list; you file a foreign-investment notification and can access cash grants, tax reductions and foreign-investment zones. Capital moves freely with reporting under the Foreign Exchange Transactions Act.

Hong Kong has a simple, low, territorial tax system: only Hong Kong-sourced income is taxed. Individuals pay salaries tax (with a standard-rate cap), there is no VAT, no capital gains tax and no tax on foreign income; the authority is the Inland Revenue Department.

South Korea's taxes are run by the National Tax Service (NTS): income tax, corporate tax and VAT, filed via Hometax. Residents are taxed on worldwide income, with a local income tax added on top.

Professionals usually enter under the General Employment Policy (GEP) with a job offer sponsored by a Hong Kong employer; talent schemes such as the Top Talent Pass Scheme (TTPS) allow high earners and graduates of top universities to come without a prior job. You apply to the Immigration Department.

Foreign nationals need a work visa matching the job (e.g. E-7 for skilled roles, D-8 for corporate investors, E-9 for non-professional employment); HiKorea is the government immigration portal. Most work visas are employer-linked.

Hong Kong employment under the Employment Ordinance sets a statutory minimum wage, paid annual leave rising with service, rest days, and — for those on a 'continuous contract' — sickness, holidays, and long-service or severance payments. MPF pension contributions are mandatory, and the Labour Tribunal resolves disputes.

Korean employment is governed by the Labor Standards Act: a national minimum wage set annually, a 52-hour week cap (40 regular plus 12 overtime), 15 days' paid annual leave after a year, and a statutory retirement (severance) allowance of about one month's pay per year of service. The Labor Office and Labor Relations Commission handle disputes.

Hong Kong is a free port: there is no customs tariff or general import duty, and no VAT or GST. You lodge an import or export declaration with Customs and Excise (within 14 days, via the electronic trading services) and pay a small declaration charge. Excise duty applies only to liquor, tobacco, hydrocarbon oil and methyl alcohol; some goods need a licence.

Korean trade clears through the Korea Customs Service using the UNI-PASS electronic system. You file import/export declarations, classify goods by HS code for customs duty plus 10% VAT on imports, and check requirement confirmations for controlled goods. Korea's many FTAs can cut duty with a certificate of origin; advance rulings give certainty.

Hong Kong trademarks are registered with the Trade Marks Registry of the Intellectual Property Department (IPD). You search the register, file under Nice classes, and after examination the mark publishes for a three-month opposition period before registration. A Hong Kong trademark lasts 10 years and is renewable; China's Madrid membership does not extend to Hong Kong, so file separately.

Korean trademarks are registered with the Korean Intellectual Property Office (KIPO). You search the register, file under Nice classes, and KIPO substantively examines both absolute and relative grounds before publishing for a two-month opposition period and registering. A Korean trademark lasts 10 years and is renewable; KIPO also grants patents and designs.