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Besides paying tax, a company in Hong Kong must also file the annual return NAR1 every year. What exactly is an annual return? What information does it require, and what is it for? This article explains in detail the definition, content and purpose of the annual return, together with the latest 2025 guide to filing NAR1.
What is an annual return?
The annual return (Annual Return) is the NAR1 form that a local private limited company incorporated in Hong Kong must file every year. Hong Kong unlimited companies do not need to file an annual return (they only need to pay the business registration fee and file their tax returns on time).
An annual return can be regarded as a company's yearly health check. At a specific time each year, the company files the annual return NAR1 with the Companies Registry, which uses it to understand the company's financial and legal operations and to ensure that the company operates in compliance with the law.
What is the annual return used for?
The annual return filed after a Hong Kong company is incorporated lets the government understand how your company operates. Part of the information declared is also uploaded to the Companies Registry database for public inspection, so it is also a way for business partners and competitors to learn about your company. You will also need the annual return in the following situations.
- Opening a company bank account
- Mergers and acquisitions
- Transfers of shares
- Transfers of a business
- Bank loans
- Applying for government support
- Applying for various licences
- Business activities such as signing commercial contracts
- Whenever you need to prove the details of the company's shareholders, directors and company secretary
What information must the annual return contain?
A local private company must file an annual return on form NAR1 for each year. You may refer to a sample annual return. The annual return sets out the following information that you need to provide:
1. Company name
2. Registered office address
3. Period covered by the financial statements
4. Share capital (if any)
5. Company secretary details
6. Director and company secretary details
7. Details of members who hold share capital
8. Company records
The annual return of a public company or a company limited by guarantee must be accompanied by a copy of the reporting documents for that financial year that must be sent to each member of the company under section 430 of the Companies Ordinance, including the financial statements, the directors' report and the auditor's report on the financial statements. These copies must be certified as true copies by a director or the company secretary of the company.
When must the annual return be filed?
A local private company must file its annual return within 42 days after its anniversary of incorporation, and no extension is available.
Even if the company's details are the same as last year or the company did not trade, an annual return must still be filed.
How do you file the annual return?
Paper form (2025 annual return form NAR1)
To file on paper in person or by post, you need to print the NAR1 form yourself. If you file the annual return by post, the fee must be paid by a crossed cheque in Hong Kong dollars, made payable to “Companies Registry”.
Address: 14/F, Queensway Government Offices, 66 Queensway, Admiralty, Hong Kong
Because the second phase of the Unique Business Identifier took effect on 27 December 2023, the company number field has been replaced by the business registration number under the Unique Business Identifier, so old versions of the form can no longer be used, Annual return form NAR1.
Further reading: “4 key points to note when filing the annual return”
Electronic filing
To file the annual return electronically, use the Companies Registry website to file and pay the fee.
How much is the annual return fee?
A local private company or company limited by guarantee that files its annual return within 42 days after the anniversary pays an annual registration fee of HK$105. If the annual return is filed late, a late registration fee is added and the fee rises from HK$105 to over $870. See the table below for details:
| Filing time | Annual return fee |
| Within 42 days after the company's anniversary | $105 |
| More than 42 days but within 3 months after the company's anniversary | $870 |
| More than 3 months but not more than 6 months after the company's anniversary | $1,740 |
| More than 6 months but not more than 9 months after the company's anniversary | $2,610 |
| More than 9 months after the company's anniversary | $3,480 |
FAQ
Whose responsibility is it to file the annual return?
The company and its officers are all responsible for complying with the Companies Ordinance requirements on delivering documents, so filing the annual return is generally the statutory duty of the company's directors and company secretary. At least one of the directors or the company secretary must therefore have fairly professional corporate governance capability to ensure the company operates in compliance.
How much is the penalty for filing the annual return late?
A company that files its annual return late must pay a higher registration fee, and if it is very late the Companies Registry may also prosecute it.
Which companies need to file an annual return?
Any Hong Kong private limited company, whether incorporated overseas or locally, must file an annual return.
Should the annual return use the company registration number or the Business Registration Certificate number?
In the past, the annual return used the company registration number. It now requires the 8-digit Business Registration Certificate number.
If your company was incorporated on or before 22 December 2023, the company registration number has only 7 digits, so you need to find the Business Registration Certificate. If your company was incorporated on or after 22 December 2023, the company registration number has 8 digits and is the same as the Business Registration Certificate number.
Summary
The annual return is a company document that must be filed every year. As long as the company has not been dissolved, an annual return must be filed, to avoid paying late registration fees. Filing the annual return on time is generally the statutory responsibility of the company's director or company secretary. If you have no one to act as company secretary, you may consider Company secretary professional services. Click “Submit annual return” to find out more!
The SetupHK team provides one-stop business consultancy services, ranging from Hong Kong company registration, opening a bank account and company secretarial services to assistance with filing the annual return, saving you effort and time and helping you get your business plan under way!
