Tax Articles

Learn how to claim self-education expenses tax deduction in Hong Kong. Understand eligibility, allowable expenses, deduction limits, and filing procedures.

Maximise your tax savings. Our complete 2025/26 guide explains all Hong Kong personal allowances, deductions, and how to claim them correctly.

📋 Key Facts at a Glance Fact 1: MPF is a defined contribution scheme where both employer and employee contribute 5% of relevant income, with maximum monthl...

Do you have income from overseas investments, profits from foreign subsidiaries, or income from international clients? If you are based in Hong Kong, it is important to understand how this foreign income affects your local tax return. Hong Kong's unique geographical source taxation system brings significant advantages, but to properly handle the relevant rules, careful attention must be paid to the determination of the source of income, double taxation avoidance agreements, and the latest regulatory changes. This guide will give you a detailed breakdown of what to expect in Hong Kong in the tax year 2024-2025...

📋 Key Facts at a Glance Hong Kong's Position: Hong Kong operates a simple, territorial tax system with no withholding tax on dividends or interest paid to...

Hong Kong’s consumption tax system is at a fascinating crossroads. As one of the last major virtually duty-free free ports in the world, how does Hong Kong strike a balance between traditional trade-friendly policies, modern public health goals and government revenue needs? This article will provide an in-depth analysis of the current status of Hong Kong’s consumption tax and the transformative trends shaping its tax landscape to 2027 and beyond.

Imagine walking into a luxury store in Hong Kong and paying whatever the price is - no hidden taxes, no "surprises" with VAT, just paying for the handicrafts. This is not a fantasy, but the reality of competition in Hong Kong. As one of the last major duty-free shopping havens in the world, Hong Kong’s retail environment operates on very different principles than most economies. Although there are currently no specific proposals to introduce a luxury tax, exploring its potential knock-on effects sheds light on this tax-free...

📋 Key Facts at a Glance No Estate Duty: Hong Kong abolished estate duty in 2006 - no inheritance tax on property transfers Stamp Duty Applies: Property tra...

📋 Key Facts at a Glance Current Stock Transfer Rate: 0.2% total (0.1% buyer + 0.1% seller) - reduced from 0.26% in November 2023 Family Gift Transfers: Sub...

📋 Key Facts at a Glance Targeted Approach: Hong Kong opted out of comprehensive BEPS Action 2 hybrid mismatch rules, implementing targeted anti-hybrid prov...

Did you know? A luxury watch imported into Hong Kong does not need to pay any consumption tax, but the same watch entering mainland China may be levied a consumption tax of up to 20%. This stark contrast highlights the fundamental difference between Hong Kong’s free port philosophy and the mainland’s comprehensive consumption tax system. For companies that shuttle between these two economies for cross-border trade, understanding these two completely different tax policies is not only an academic discussion, but also the formulation of business strategies...

📋 Key Facts at a Glance Appeal Deadline: Strict 30-day window from penalty notification date Record Retention: Mandatory 7-year document retention for all...