Tax Laws & Policies

📋 Key Facts at a Glance Profits Tax Rates: Corporations: 8.25% on first HK$2M, 16.5% on remainder | Unincorporated: 7.5% on first HK$2M, 15% on remainder F...

📋 Key Facts at a Glance Property Tax Rate: 15% on Net Assessable Value (Rental income - Rates) × 80% × 15% Statutory Allowance: Automatic 20% deduction for...

📋 Key Facts at a Glance Territorial Tax System: Hong Kong taxes only profits arising in or derived from Hong Kong, regardless of residence status Profits T...

📋 Key Facts at a Glance Top Progressive Rate: 17% on net chargeable income over HK$200,000. Standard Rate (2024/25): 15% on first HK$5 million of net incom...

Did you know? By properly utilizing the Arrangement between the Mainland and Hong Kong for the Avoidance of Double Taxation and Prevention of Tax Evasion on Income (hereinafter referred to as the Arrangement), Hong Kong companies can save up to half of their withholding tax expenses when handling cross-border business. With cross-border trade and investment amounting to trillions of Hong Kong dollars every year, this "Arrangement" is not only a compliance requirement, but also a strategic blueprint for enterprises to obtain significant financial advantages. Whether it is repatriating profits, licensing technology or expanding business, understanding the Arrangement is the key to achieving efficient...

📋 Key Facts at a Glance Two-Tier Profits Tax: Corporations pay 8.25% on first HK$2M, 16.5% on remainder; unincorporated businesses pay 7.5% and 15% respect...

📋 Key Facts at a Glance Territorial Tax System: Hong Kong only taxes income sourced in Hong Kong. Foreign-sourced income is generally exempt, but your resi...

📋 Key Facts at a Glance Property Tax Rate: 15% flat rate on net assessable value (after 20% statutory allowance for repairs) Audit Approach: "Assess first,...

📋 Key Facts at a Glance Tax-Efficient Structure: Hong Kong's two-tiered profits tax system offers corporations 8.25% on first HK$2 million and 16.5% on rem...

Are you considering holding a Hong Kong property under a trust structure? With major reforms to the stamp duty system coming in 2024, it has never been more important to understand how trusts interact with Hong Kong’s property tax system. Whether you are looking for wealth inheritance, asset protection, or family wealth management, this comprehensive guide will help you navigate the complex intersection of trust law and stamp duty regulations in Hong Kong’s simplified tax environment after 2024.

📋 Key Facts at a Glance Hong Kong's Territorial Tax System: Only Hong Kong-sourced profits are subject to Profits Tax. Foreign-sourced income is generally...

📋 Key Facts at a Glance Dual Tax System: Hong Kong uses either progressive rates (2-17%) or standard rates (15-16%), whichever is lower Maximum MPF Deducti...