Our Services - Preparing Company Accounts


Accounting for a Partnership Business
The information below is a summary of what we are normally asked:

• The partnership will normall adopt the same financial year as the tax year i.e. 31 March.


• A partnership does not need to prepare audited financial statements however accounts must be maintained.


• Requirement to keep accounts is for all transactions which include:
  • all amounts received and paid with regards to receipts and expenditure;
  • all sales, purchases and other income; and
  • all assets aquired and liabilities incurred.
  
  
• A partnership business can either employ an accounts clerk or out source the accounting function to a service provider such as LLB Accounting Services Ltd.


• The results of the business are reported to the HK Inland Revenue Department when the partnership receives a Profits Tax Return in its own name which is then submitted to the HK IRD together with certified a Balance Sheet and Profit and Loss Account.


• A Corporate Bank accounts can be opened at most of the major financial institutions in Hong Kong and the decision for which bank to use may depend on the nature of your business, the location of branches and banks currently used by your major clients.


• Hong Kong Accounting Standards (HKAS), issued by the Hong Kong Institute of Certified Public Accountants, lay down the generally accepted accounting practice (GAAP) to be adopted in Hong Kong.


• In the absence of a HKAS, HK Statements of Standard Accounting Practice (SSAP) provide the GAAP. The HKAS issued to date are bringing HK in line with International Accounting Standards