Legislation of Macau

Legal system

Civil law

Types of entity

individual entrepreneur; unlimited liability company;
mixed liability company by quotas;
mixed liability company by shares;
limited liability company by an individual quota;
limited liability company by quotas;
limited liability company by shares;
foreign branch;
representative office

Shelf companies permitted

No

Incorporation timescale for a new company

15 days

Company suffix

Limitada (Lda.) or Chinese equivalent (or English, but only together with Portugal and Chinese)

Sensitive words

identical names;
common expressions without and adequate translation in the official languages;
names corresponding , wholly or partly, to names of shareholders;
registered trademarks;
words resulting from the merging of words or parts of words related with the activities exercised or taken from the names of the shareholders;
words aiming at facilitating larger penetration of market to which the activities exercised are directed

Cyrillic alphabet permitted in company name

No

Local registered office

Yes

Local registered agent

Yes

Information to be kept at the registered office

Balance of accounts, shareholders meeting minutes books and directors meeting minutes book

Seal required, type of seal

Not imposed, but recommended

Redomiciliation (to, from) permitted

Not permitted

Minimum number of directors

1

Residency requirements for directors

No

Corporate directors permitted

Yes

Directors’ meetings/frequency/location

Yes / No requirements / Macau

Disclosure to local agent

Yes

Disclosure to public

Yes

Company secretary required

No

Residency requirements for a secretary

No

Qualified secretary required

No

Corporate secretary permitted

No

Minimum number of shareholders

2

Residency requirements for shareholders

No

Corporate shareholder permitted

Yes

Meetings/frequency/location

Yes / Annually / Macau

Disclosure to local agent

Yes

Disclosure to public

Yes

Beneficiary info disclosure to

No

Minimum authorized share capital

25 000

Minimum issued share capital

No requirements

Minimum paid share capital

25 000

Authorized capital payment deadlines

Upon registration

Issued capital payment deadlines

No requirements

Standard currency

Pataca

Standard authorized share capital

25 000

Standard par value of shares

1 000

Shares with no par value permitted

No

Bearer shares permitted

No

Personal tax

7-12%

Сorporate tax

12%

Corporate tax (in detail)

Income tax is paid at a tax rate of 12%. Profits less than MOP 600 000 are not taxed

Capital gains tax

Regular rate

Capital gains tax. Details

No

VAT

The income is taxed under corporate taxation

VAT. Details

No

Withholding tax

No

Other taxes

Social contributions, Property tax for own needs, Tourist tax, Transportation tax, Special gaming tax

Exchange control

No

Government fee

No

Stamp duty

0,2-10%

Requirement to prepare accounts

Yes

Requirement to file accounts

Yes

Publicly accessible accounts

No

Requirement to file Annual Return

Yes

Publicly accessible Annual Return

No

Audit required

No

Location

Eastern Asia

Total area

118 sq.km

Population

649 342 (2020)

Capital

No

National currency

Pataca

Conditional reduction of currency

MOP

Against USD

0,12 (2022)

Climate, average max and min t°

Situated on the border of subtropical and subequatorial climate zones, average t in January is 14 °C, average t in July is 28 °C

Time difference from Moscow

+ 5 hours

Dialing code

+853

State language

Chinese, Portugal

Ethnic groups

Chinese 95%, other 5% - Macanese (mixed Portuguese and Asian ancestry), Filipino, etc.

Literacy rate

96,5% (2019)

History

Macau was under jurisdiction of Chinese province Guangdong before the Common Era. In the 16th century Macau became one of the first European settlements in Southeastern Asia, colonized by the Portuguese. Portuguese used Macau as a port for carrying out trading activities with Guangzhou and other regions of China, as well as Japan. Portuguese expanded their territories gradually. In the 17th century they drained maritime domain, as a result, former island of Macau, which was connected to the continent only by a narrow neck of land, developed into a peninsula. After Portuguese sea rule was wrecked in the middle of 17th century, the city lost its trade hegemony. Later, Macau’s significance got reduced due to occupation of Hong Kong by Great Britain and opening of Chinese ports for external trade since 1842. In 1897 Macau became a separate colony of Portugal. During the Second World War Macau was occupied by the Japanese, but after its end Macau was taken over by Portugal again. Pursuant to a Sino-Portuguese Joint Declaration signed on 13 April 1987, Macau became the Macau Special Administrative Region (SAR) of the People's Republic of China on 20 December 1999. Being a part of China, Macau enjoys a high degree autonomy, has its own laws, legislation, monetary, customs and emigration systems and a membership in international organizations. Chinese central government conducts only foreign and defense matters. Macao will keep this status for the next 50 years.

Credit rating

AA

Government type

limited democracy

Executive branch

Executive Council headed by the chief executive

Legislative branch

Legislative Assembly, a 29-member body

Judicial branch

Court of the First Instance, Court of the Second Instance, Court of Final Appeal

Unemployment

3,3% (2022)

GDP per capita rank

9 (2020)

Corruption perceptions index rank

46 (2019)