LUKE Accounting Services - Accounting Services

Why it is important

for your accounts to be prepared

by a Certified Public Accountant (CPA)

A CPA ensures that your accounts are properly prepared according to the generally accepted accounting principles, and comply with statutory requirements.

A CPA is licensed through passing a rigorous examination on tax and accounting knowledge, obtaining the required working experience, undertaking continued education to update professional knowledge, and could be disqualified if he is convicted of fraud, negligence or ethics violation.

A CPA has a fiduciary responsibility to his clients, and is legally required to act in the best interest of clients.

A CPA helps you to analyse your financial data and provides valuable insights into your business performance.

Accounts prepared by a CPA add credibility and assurance to IRD, your bankers and investors.

Frequently Asked Questions

Our Fees and Services

Annual Fee from $3000 - the compilation of an annual account for tax filing purpose:
- - from HK$3,000 for up to 100 transactions
  - $5,000 for up to 200 transactions
  - $7,000 for up to 300 transactions
  - Fees negotiable for > 300 transactions

Monthly Fee from $2000 per month - for companies with >300 transactions, we recommend using our monthly financial management package which includes -
- aging analysis of accounts receivable to facilitate debt collection;
- updating of accounts payable for cash flow planning;
- regular stock check and petty cash count;
- compilation of monthly and annual financial reports;
- filing of annual tax return; and
- reviewing company internal controls and financial performance with client.

Initial Fee Quotation - We can provide an initial fee quotation based on information provided by you on the phone/email.

Revised Quotation - A final revised quotation, based on the estimated time required which vary with transaction volume and business operation, will be provided upon receiving your financial documents.

Payment - Clients will have to settle fees before provision of accounting services.

Why is it important for a sole proprietor to hire a CPA?

Sole Proprietors' Accounts are not subject to auditing by a CPA, and taxpayers who are not familiar with accounting or statutory requirements may solely rely on their accountants.

Risks of Inaccurate Accounts - Some accounting firms may charge a very low fee, but hire unqualified bookkeepers and do not comply with accounting standards and regulations to save cost. They do not provide detailed accounting records and taxpayers are at risks of filing inaccurate accounts -

if the assessable income is understated - this may induce six years of back year investigation by IRD and payment of penalty up to three times the amount of underpaid tax; or
if the assessable income is overstated - the taxpayers suffer by paying excessive tax.

Did You Know only about 50 percent of accountants are licensed CPAs? When you work with a professional CPA, you can rest assured that your accounts are being handled by an expert.

How long should I keep accounting records?

Section 51C of the Inland Revenue Ordinance requires every person carrying on a trade, profession or business in Hong Kong to keep sufficient records in the English/Chinese of his income and expenditure to enable the assessable profits to be readily ascertained.
Such records shall be retained for a period of not less than 7 years.
Failure to comply with the requirements of the Ordinance without reasonable excuse may be liable to a maximum fine of $100,000.

What accounting records are required to be kept?

Under the Inland Revenue Ordinance, the accounting records to be kept for seven years include -

books of accounts recording income and expenditure;
vouchers, bank statements, invoices, receipts;
records of the assets and liabilities;
records of all sums of money received and expended in relation to that trade, profession or business;
records of goods purchased and sold in a trade, details of the sellers and buyers, and the related invoices.

Fast, Accurate and Affordable

Email: jluke@lukeacc.com

Call: +852 9106 3318

Enquiry