Hong Kong Annual Return (NAR1) Fees Explained: HK$105 on Time, Up to HK$3,480 if Late
A Hong Kong local private company must generally file its NAR1 annual return within 42 days after the anniversary of its incorporation date, and the annual registration fee is HK$105 if filed on time. Once that window closes, a higher registration fee prescribed by the regulations applies, rising to a maximum of HK$3,480, and the Registrar of Companies has no discretion to waive or reduce it. The NAR1 is not the same thing as renewing your Business Registration Certificate (BR); the two are handled by different government departments.
Annual Return Fee Table
The registration fees below are those published by the Companies Registry as at July 2026. Before paying, always check the latest Companies Registry fee schedule.
| Time of delivery (counted from the company's return date) | Local private company | Local public company | Registered non-Hong Kong company |
|---|---|---|---|
| Within 42 days | HK$105 | HK$140 | HK$180 |
| More than 42 days but within 3 months | HK$870 | HK$1,200 | HK$1,200 |
| More than 3 but within 6 months | HK$1,740 | HK$2,400 | HK$2,400 |
| More than 6 but within 9 months | HK$2,610 | HK$3,600 | HK$3,600 |
| More than 9 months | HK$3,480 | HK$4,800 | HK$4,800 |
For a local private company, the return date is normally the anniversary of the date of incorporation or of re-domiciliation. No NAR1 is usually required for the first year after incorporation. Public companies work from their accounting reference period instead, so the private-company anniversary rule cannot simply be applied to them.
Why the late fee is not a "penalty you can appeal"
The higher amount is the increased annual registration fee set out in the Companies (Fees) Regulation, not a discretionary administrative charge assessed case by case. Even if the delay was caused by an invalid address, an oversight by a service provider, or a notice that never arrived, the right move is to deliver the documents with the correct fee as soon as possible. Waiting only pushes the fee into the next band.
Three Costs That Often Get Bundled Together in an Annual Compliance Quote
What the market calls the "Hong Kong company annual compliance fee" does not necessarily refer to the NAR1 alone. When reviewing a quotation, ask for each item to be listed separately:
| Item | Fee / responsible authority | Timing | Is it the NAR1? |
|---|---|---|---|
| NAR1 annual return | Companies Registry | Usually within 42 days after the incorporation anniversary for private companies | No, this is a separate statutory filing |
| Business Registration Certificate (BR) | Inland Revenue Department | Based on the effective / expiry date on the certificate | No, check the Inland Revenue Department's fee schedule separately |
| Company secretarial and annual compliance coordination | Service providers in the market | Depends on the scope of engagement and the contract | No, this is a service fee, not a government fee |
BR fees, levies, and waiver arrangements change with effective dates and government announcements, so rely on the Inland Revenue Department's current fee schedule. The Profits Tax Return (PTR), audit, and accounting work all have their own deadlines, and filing the NAR1 does not mean those obligations are done.
How Is the 42-Day Deadline Counted?
For a private company, the clock starts on the incorporation anniversary — not the financial year end, and not the day a reminder email arrives. For example, a company incorporated on 15 August 2024 has its next anniversary on 15 August 2025, and delivery should be arranged within 42 days after that date.
Sundays and public holidays count towards the 42 days, so do not leave posting until the final day or two. If you deliver by post, the postmark date affects the delivery date, but the documents must be accompanied by the correct fee. An insufficient fee or incomplete information can cause the documents to be returned, and by the time they are resubmitted the higher fee band may already apply.
In practice, set two reminders in your compliance calendar: 30 days before the anniversary, verify the directors, shareholders, registered office address, and company secretary details; 14 days after the anniversary, complete signing and submission. For more on Hong Kong company expansion and compliance in practice, see the Chan & Chung global expansion insights.
The Real Cost of Filing Late: More Than HK$3,480
The higher registration fee is only the first layer of consequence. If the annual return is not delivered on time, the company and every responsible person may be prosecuted. Under section 662 of the Companies Ordinance (Cap. 622), the maximum fine on conviction is HK$50,000, with a further daily default fine of HK$1,000 for continued default. The Companies Registry has also indicated that striking-off action may be considered in appropriate cases.
Outsourcing company secretarial work does not outsource the directors' statutory responsibilities. If the company relocates, changes directors, has a shareholding change, or its contact address stops working, you should still proactively confirm the filing details and deadlines.
Does a Dormant or Non-Trading Company Still Have to File?
Generally, yes. Issuing no invoices, having no bank activity, or pausing trading does not automatically remove the NAR1 obligation. Only a private company that has formally become dormant under section 5 of the Companies Ordinance may be exempt, and the filing obligation for the year in which it becomes dormant still depends on the effective date and the 42-day deadline.
If you are certain the business will not continue, do not simply leave the company idle. Applying for deregistration is a separate process with its own eligibility requirements, tax clearance steps, and time cost. The Companies Registry currently lists the deregistration application fee for a solvent, non-operating company as HK$420, but that does not cover other government procedures or professional fees that may need to be dealt with first.
How Is the NAR1 Filed, and Who Can Sign It?
The NAR1 is the annual return; the NNC1 is the incorporation form used when a company is first set up, so the two serve different purposes. The NAR1 can be filed electronically through the Companies Registry's e-Services Portal, or delivered by post or in person to the 14th floor, Queensway Government Offices, 66 Queensway, Hong Kong. The return must be signed by a director or the company secretary.
Before submitting, check each item: the registered office address, director and company secretary particulars, share capital and shareholder details, and the business nature code. Incomplete information, an ineligible signatory, or an incorrect fee can all result in rejection.
When Is It Worth Engaging Annual Compliance Coordination?
If the corporate structure is simple, the particulars have not changed, and someone reliably tracks the anniversary date, handling it in-house is usually fine. But companies with non-Hong Kong resident shareholders, cross-border teams, or frequently changing addresses and director details are more likely to miss deadlines because of time-zone gaps, lost notices, or unsynchronised records. In that case, it is worth evaluating the company secretarial and annual compliance coordination options available in the market, and asking for a quotation that clearly separates government fees from service fees.
Chan & Chung can assist with Hong Kong company incorporation as well as company secretarial and annual compliance service coordination; the actual scope should be confirmed case by case and according to the terms of engagement. Regulated trust or company services are provided by Intelligent Services Limited (TCSP licence no. TC010349), not by Chan & Chung Consultancy Services Limited.
Frequently Asked Questions
How much does the NAR1 cost?
For a local private company, HK$105 if delivered on time within 42 days, rising to HK$3,480 if more than nine months late. That is the increased registration fee, and it does not cover any criminal liability that may arise.
From which day do the 42 days run?
For a local private company, they generally run from the anniversary of the incorporation date or the re-domiciliation date, not the financial year end. Sundays and public holidays are included in the period.
Does a company with no operations still need to file an annual return?
Generally yes. Only companies that have completed deregistration, been struck off, or formally become dormant under the law may be treated differently; being non-operational is not itself an exemption.
If the secretarial firm forgets to file, are the directors still responsible?
Yes. The company and its responsible persons remain subject to the statutory obligations, and engaging an external service provider does not automatically transfer that responsibility.
What is the difference between the NAR1, BR renewal, and the Profits Tax Return?
The NAR1 reports company particulars to the Companies Registry; the BR is the Inland Revenue Department's business registration arrangement; the PTR is the profits tax filing document. All three have separate authorities, deadlines, and fees.
Can I apply for a reduction of a late NAR1 fee?
No. The Registrar of Companies has no power to waive or reduce the higher annual registration fee prescribed by the regulations.
Closing Thoughts
The on-time government fee for the NAR1 is only HK$105. What is genuinely expensive is the registration fee that keeps escalating after a missed anniversary, together with the compliance risk that comes with it. Confirm your company's anniversary date, allow time to verify the particulars, and file in line with the Companies Registry annual return guidance — that is far more straightforward than fixing the problem afterwards. If you need help mapping out your Hong Kong annual compliance arrangements, you can start with Chan & Chung's Hong Kong expansion advisory to understand the scope of services.