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Website revenue - incorporate in HK?

Discussion in 'Accounting, Tax & Legal' started by Glebe, 24th Jan, 2012.

  1. Glebe

    Glebe Well-Known Member

    Joined:
    15th Aug, 2005
    Posts:
    932
    Location:
    Sydney, NSW
    Hi there,

    I own a few websites that make beer money, but I'm hoping to ramp it up with a goal of achieving big money from them.

    Any problem with the ATO if I incorporate a company and create a bank account in HK which I would own and would pay 0% tax, which Google Adsense and various commission affiliates pay into?

    Thanks,

    Glebe.
     
  2. Terryw

    Terryw Well-Known Member

    Joined:
    9th Jun, 2006
    Posts:
    653
    Location:
    Sydney
    No problems with the ATO as long as you declare it in Australia.
     
  3. tax guy

    tax guy Member

    Joined:
    9th Dec, 2010
    Posts:
    14
    Location:
    Sydnye, NSW
    When you say "incorporate a company" are you talking about incorporating a company in HK. Now assuming you are operating the HK company whilst residing in Australia, this is one of the worst things you can do. The company would likely be subject to additional ASIC requirements and the effective tax rate could potentially be as high as 67.45%