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Public Company Limited by SharesMobile App Developer

Public Company Limited by Shares in Hong Kong — Mobile App Developer Formation Guide

When choosing a jurisdiction, consider where Apple and Google will send your payouts. Ensure your chosen country has favorable double taxation treaties with the US to minimize the default 30% withholding tax on your US app sales.

Last verified: June 13, 2026

Corporate Tax

16.5%

State Tax

0.0%

Formation Cost

$499

Annual Fee

$319

Forming a Public Company Limited by Shares in Hong Kong as a Mobile App Developer means a total tax burden of 16.5% and an official formation cost of $499. This guide covers the steps, tax breakdown, banking options, and compliance requirements — all from verified data.

First-year total cost

$1,799

Ongoing (per year)

$3,119

Detailed cost calculator →

Why Public Company Limited by Shares for Mobile App Developer?

Independent developers or small studios creating and monetizing applications on platforms like the Apple App Store and Google Play. Revenue streams typically include paid downloads, in-app purchases (IAPs), subscriptions, and in-app advertising.

Ideal for

  • Indie developers
  • Small gaming studios
  • SaaS mobile app creators
  • Freelance developers transitioning to product owners

Challenges to watch

  • High platform fees (15-30% from Apple/Google)
  • US withholding tax on royalties if no tax treaty exists
  • Managing global VAT/GST compliance for digital services
  • Protecting intellectual property across borders

Key decision criteria

  • Double taxation treaties with the US
  • Corporate tax rates on digital income
  • Ease of opening a business bank account compatible with App Store payouts
  • IP protection laws in the jurisdiction

Estimated breakdown (based on avg. $85,000 revenue)

Gross Revenue$85,000
Corporate Tax-$14,025
Formation Cost-$499
Annual Fee-$319
Net Profit$70,157

Simulate with your own revenue →

VAT / Sales Tax

Standard rate 0%. Hong Kong does not levy Value Added Tax (VAT), Goods and Services Tax (GST), or any general sales tax on goods and digital services.

Banking & payments for Mobile App Developer

Opening a traditional bank account in Hong Kong can be rigorous for non-resident founders, often requiring an in-person interview, a solid business plan, and extensive KYC/AML documentation. However, fintech alternatives like Statrys and Airwallex offer fully remote onboarding with much faster approval times.

Supported payment gateways

StripePayPalAirwallexAdyenCheckout.com

Remote-friendly accounts

  • Statrys

    A popular Hong Kong-based fintech offering multi-currency business accounts with fully remote onboarding.

  • Airwallex

    Excellent for global startups needing virtual cards, multi-currency accounts, and fast remote setup.

Public Company Limited by Shares formation steps

1

Choose a proposed company name and verify its availability via the Companies Registry Cyber Search Centre.

2

Appoint at least one director, one shareholder, and a mandatory Hong Kong-resident company secretary (or licensed TCSP).

3

Secure a physical registered office address in Hong Kong (P.O. boxes are strictly prohibited).

4

Draft the Articles of Association, typically adopting the Model Articles for Public Companies Limited by Shares.

5

Submit the incorporation form (NNC1G) along with the Articles to the Companies Registry and pay the HKD 1,545 fee.

6

Obtain the Certificate of Incorporation and the Business Registration Certificate (BRC fee is HKD 2,350 for the 2026-2027 period).

7

Open a corporate bank account, register for the Mandatory Provident Fund (MPF) for employees, and apply for any specific industry licenses.

Mobile App Developer FAQ

Do I need a US company to publish on the App Store?

No, you can publish from almost any country. However, having a US LLC or a company in a country with a US tax treaty can significantly reduce the 30% withholding tax on US sales.

How does VAT work for app sales?

Apple and Google generally act as the 'Merchant of Record' and handle VAT/GST collection and remittance for consumers in most countries, simplifying your tax compliance.

Where is the best place to incorporate an app studio?

Popular choices include the US (Wyoming/Delaware LLCs for low maintenance), UK (favorable tax treaties and IP laws), and Estonia (0% tax on reinvested profits, great for growing studios).

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Related terms

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