🇸🇬Singapore vs Hong Kong🇭🇰
Checked November 4, 2026 · How we score
| Metric | Singapore | Hong Kong |
|---|---|---|
| Corporate tax | 17% | 16.5% |
| Top personal tax | 24% | 16% |
| Capital gains tax | 0% | 0% |
| VAT | 9% | None |
| Usual entity | Pte Ltd (private limited company) | Private company limited by shares (Ltd) |
| Setup cost | $1,500–$4,000 | $1,000–$2,500 |
| Yearly cost | $2,000–$6,000 | $1,500–$4,000 |
| Time to form | 3 days | 4 days |
| Remote setup | Yes | Yes |
| Banking difficulty | 3/5 | 4/5 |
| Digital nomad visa | No | No |
| Our score | 7.6/10 | 7.2/10 |
Choose Singapore if…
- →Asia-focused SaaS and fintech startups
- →Holding companies and regional HQs
- →Investors who want a highly credible jurisdiction
- →Fund managers and family offices
Choose Hong Kong if…
- →Trading and e-commerce companies sourcing from Asia
- →Consultancies with genuinely offshore clients
- →Holding companies and fund managers
- →Businesses that need credible Asian banking and arbitration
Questions people ask
Is Singapore or Hong Kong better for a new company?
Hong Kong has the lower overall tax burden (16.5% corporate, 16% top personal). Singapore is easier to set up, while Hong Kong is cheaper to run. Singapore carries more weight with banks, investors and customers. Overall, Singapore scores 7.6/10 on our index vs 7.2/10.
What is the corporate tax rate in Singapore?
The headline corporate income tax rate is 17%. Effective rates are lower for small profits because of the start-up exemption and partial exemption, and large multinational groups face a 15% top-up tax from 2025.
Is Singapore a tax haven?
Singapore is usually described as a low-tax, high-transparency financial centre rather than a tax haven. It has a 17% corporate rate, no capital gains tax and strong compliance and anti-money laundering rules, and it is not on the EU blacklist.
What is the corporate tax rate in Hong Kong?
The profits tax rate for corporations is 8.25% on the first HK$2 million of assessable profits and 16.5% on the remainder. Only one company in a connected group can use the lower tier.
Is Hong Kong tax free?
No. Hong Kong has no VAT, capital gains tax or dividend withholding tax, but it does tax Hong Kong-sourced business profits and employment income. Profits that genuinely arise outside Hong Kong are not taxed.
More comparisons
Not tax or legal advice. Rates and rules change; we check official sources and update every page, but verify with a licensed adviser in the country before acting. Spotted something out of date? Use the correction form below.