Tax Articles

Just imagine: after you pass away, you leave behind a Bitcoin wallet worth millions of Hong Kong dollars, a collection of precious NFTs, and decades of digital memories—but your loved ones have no access to them. This is not a fictional plot, but the reality faced by many technology experts in Hong Kong. As digital wealth becomes increasingly important, traditional estate planning methods are no longer sufficient. Although Hong Kong has abolished inheritance tax since 2006, making the inheritance process tax-free, the real challenge lies in how to ensure that your data...

📋 Key Facts at a Glance Tax-Free Offshore Income: Hong Kong's territorial system exempts offshore-sourced profits from profits tax, making it ideal for int...

📋 Key Facts at a Glance Maximum Tax Deduction: 35% of assessable income or profits for both individuals and corporations Minimum Donation: HK$100 aggregate...

📋 Key Facts at a Glance Property Tax Rate: 15% on net assessable value of rental income Standard Deduction: 20% automatic allowance for repairs and outgoin...

📋 Key Facts at a Glance Maximum Tax Deduction: HK$60,000 per year for combined mandatory MPF and eligible voluntary contributions (2024/25 tax year) Mandat...

📋 Key Facts at a Glance Tax Rate: 0% profits tax on qualifying transactions (vs. standard 8.25%/16.5% corporate rates) Minimum AUM: HK$240 million in spec...

Did you know? The Hong Kong Inland Revenue Department conducted more than 1,800 tax audits in 2023-24, nearly half of which involved offshore profit claims. With the implementation of new regulations such as the global minimum tax (Pillar 2) and stricter transfer pricing rules, Hong Kong's tax environment is changing rapidly. For companies, conducting proactive internal tax audits has become a key strategy to avoid huge fines, back taxes and reputational damage. This guide will detail how to implement effective content in 2025...

Did you know? Hong Kong's unique territorial source taxation system gives companies the opportunity to earn millions in offshore income without paying a penny of local profits tax. This strong advantage makes Hong Kong one of the most attractive business hubs in the world, but the related compliance requirements are complex to properly handle. Whether you are a multinational enterprise or a small trading company, knowing how to correctly claim the offshore income exemption is crucial for tax efficiency and compliance management.

Have you ever thought that you can save stamp duty by purchasing a property in Hong Kong through a nominee? Please think again. Hong Kong's stamp duty system is based on a basic principle: tax liability depends on who is the real beneficiary of the property, rather than the legal holder. Whether you are an investor considering a nominee arrangement, or a professional advising clients, in today's simplified but still complex property tax environment it is vital to understand how stamp duty applies to these structures.

📋 Key Facts at a Glance Core Regime: The Unified Funds Exemption (UFE) under Inland Revenue Ordinance (Cap. 112) exempts qualifying funds from Profits Tax....

📋 Key Facts at a Glance Consolidation is Mandatory: You must combine all employment income from multiple sources when filing your personal tax return (Form...

📋 Key Facts at a Glance Property Rates: 5% of rateable value for all commercial properties in Hong Kong Government Rent: 3% of rateable value (applies onl...