FAQs of Macau Taxation

Tax Filing Questionnaire of Limited Company in Macau

Q：

A Limited Company is required to file the Complementary Tax Return?

A：

Yes, an annual Complementary Tax Filing must be done by all companies registered in Macau irrespective of being dormant or listed in Group A or B company.

Q：

How to classify the Companies into Group A or Group B under the Complementary Tax Regulations in Macau?

A：

Under the Complementary Tax Regulations, the classification of Group A or B companies are as follows:

1、	Group A companies
	(1)	All Companies Limited by Shares (S.C.A) and Mixed Companies (S.C.);
	(2)	All forms of business entities having a capital of not less than MOP 1,000,000 or whose average taxable profit in the last three consecutive years is higher than MOP 1,000,000;
	(3)	All forms of business entities who are ultimate parent entities; or
	(4)	Entities who choose by themselves to be Group A taxpayer by filing a Group A declaration form.
2、	Group B companies
	Other forms of companies including Limited Company (L.D.A) and Limited Company with sole shareholder (Sociedade Unipessoal Lda) which does not satisfy the above requirements are classified as Group B taxpayers. Usually, the start-up business are Group B companies.

Q：

The accounts of a Limited Company needs to be audited?

A：

The audit requirements are different for Group A and Group B companies. The accounts and tax returns of Group A companies need to be audited and filed by local registered accountants and auditors. Group B companies can report and file the tax return by themselves and are not required to audit its accounts.

Q：

What is the Complementary Tax rate of a Limited Company in Macau?

A：

The Complementary Tax rate of Group A and B companies are the same. A Limited Company with taxable profits below MOP 32,000 is exempt from tax. Macau Complementary tax is imposed on a progressive rate scale ranging from 3% to 9% for taxable profits below or equal to MOP 300,000 and 12% for taxable profits over MOP 300,000.

Q：

What is the prescribed time for delivery of the Complementary Tax return of a Limited Company?

A：

A Limited Company must file the Form M/1 to the Macau Finance Bureau annually. Filing deadlines for companies belong to Group A are from 1 April to 30 June and companies belong to Group B are from 1 February to 31 March.

Q：

When should the Professional Tax Return be filed by a Limited Company?

A：

A Limited Company is required to file the Form M3/M4 during January to February each year together with the summary of remuneration of all the employees.

Q：

Does a Limited Company require to file the Professional Tax Return even if the Company has no staff hired?

A：

Yes. A Limited Company is still required to file a Nil Professional Tax Return to the Macau Finance Bureau even if there is no employee hired by the Company.

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