Source : The 2023-24 Budget (https://www.budget.gov.hk/2023/eng/pf.html)
Rates at Scale 2 applicable to Hong Kong permanent residents who are the first time buyers of the residential properties in Hong Kong.
Source : https://www.budget.gov.hk/2023/eng/gallery/gallery.html?date=20230223
2022/23 HKD | 2023/24 HKD | |
---|---|---|
Basic allowances | ||
Single person’s allowance | 132,000 | 132,000 |
Married person’s allowance | 264,000 | 264,000 |
Additional allowances (Child - 1st to 9th child (each) note 1) | ||
Year of birth | 240,000 | 260,000 |
Other years | 120,000 | 130,000 |
Dependent parent / grandparent allowance | ||
Aged 55 to 59 | ||
Not residing with taxpayer | 25,000 | 25,000 |
Residing with taxpayer for the whole year | 50,000 | 50,000 |
Aged 60 or above | ||
Not residing with taxpayer | 50,000 | 50,000 |
Residing with taxpayer for the whole year | 100,000 | 100,000 |
Dependent brother / sister allowance (for whom no child allowance is claimed) | ||
Single parent allowance | 132,000 | 132,000 |
Disabled dependant allowance note 2 | 75,000 | 75,000 |
Personal disability allowance note 2 | 75,000 | 75,000 |
Additional deductions | ||
Self education expenses note 3 | 100,000 | 100,000 |
Home loan interest note 4 | 100,000 | 100,000 |
Elderly residential care expenses | 100,000 | 100,000 |
Contributions to retirement schemes | 18,000 | 18,000 |
Voluntary contribution to MPF scheme and qualifying annuity premiums | 60,000 | 60,000 |
Qualifying premiums paid under the Voluntary Health Insurance Scheme | 8,000 / insured person | 8,000 / insured person |
Domestic rent deduction | 100,000 | 100,000 |
Approved charitable donations note 5 | 35% | 35% |
2022/23 and 2023/24 | |
---|---|
Standard tax rates | 15% |
Net Chargeable Income | 2022/23 and 2023/24 | |
---|---|---|
First | HKD 50,000 | 2% |
Next | HKD 50,000 | 6% |
Next | HKD 50,000 | 10% |
Next | HKD 50,000 | 14% |
Remainder | 17% |
Tax rates for 2022/23 and 2023/24 note | ||
---|---|---|
Assessable Profits | Unincorporated Business | Corporation |
First HKD 2,000,000 | 7.5% | 8.25% |
On the remainder | 15% | 16.5% |
Taxpayer | 2022/23 and 2023/24 |
---|---|
Property Owner | 15% |
Particular | 2022/23 and 2023/24 |
---|---|
Contract Note for sale or purchase of any Hong Kong stock | 0.13% of the amount of the consideration or of its value on every sold note and every bought note |
Transfer operating as a voluntary disposition inter vivos | HKD 5 + 0.26% of the value of the stock |
Transfer of any other kind | HKD 5 |
Leasing period | 2022/23 and 2023/24 |
---|---|
Not defined or is uncertain | 0.25% |
Specified in the lease as not exceeding 1 year | 0.25% |
Exceeding 1 year but not exceeding 3 years | 0.5% |
Exceeding 3 years | 1% |
Key money, construction fee etc. Mentioned in the lease | 4.25% of the consideration if rent is also payable under the lease. Otherwise, same duty as for a sale of immovable property. |
Sales Consideration | Rates at Scale 1 (Part 2) |
---|---|
Up to HKD 2,000,000 | 1.5% |
HKD 2,000,001 to HKD 2,176,470 | HKD 30,000 + 20% of excess over HKD 2,000,000 |
HKD 2,176,471 to HKD 3,000,000 | 3% |
HKD 3,000,001 to HKD 3,290,330 | HKD 90,000 + 20% of excess over HKD 3,000,000 |
HKD 3,290,331 to HKD 4,000,000 | 4.5% |
HKD 4,000,001 to HKD 4,428,580 | HKD 180,000 + 20% of excess over HKD 4,000,000 |
HKD 4,428,581 to HKD 6,000,000 | 6% |
HKD 6,000,001 to HKD 6,720,000 | HKD 360,000 + 20% of excess over HKD 6,000,000 |
HKD 6,720,001 to HKD 20,000,000 | 7.5% |
HKD 20,000,001 to HKD 21,739,130 | HKD 1,500,000 + 20% of excess over HKD 20,000,000 |
Exceeding HKD 21,739,130 | 8.5% |
Sales Consideration | Rates at Scale 2 |
---|---|
Up to HKD 3,000,000 | HKD 100 |
HKD 3,000,001 to HKD 3,528,240 | HKD 100 + 10% of excess over HKD 3,000,000 |
HKD 3,528,241 to HKD 4,500,000 | 1.5% |
HKD 4,500,001 to HKD 4,935,480 | HKD 67,500 + 10% of excess over HKD 4,500,000 |
HKD 4,935,481 to HKD 6,000,000 | 2.25% |
HKD 6,000,001 to HKD 6,642,860 | HKD 135,000 + 10% of excess over HKD 6,000,000 |
HKD 6,642,860 to HKD 9,000,000 | 3% |
HKD 9,000,001 to HKD 10,080,000 | HKD 270,000 + 10% of excess over HKD 9,000,000 |
HKD 10,080,001 to HKD 20,000,000 | 3.75% |
HKD 20,000,001 to HKD 21,739,120 | HKD 750,000 + 10% of excess over HKD 20,000,000 |
Exceeding HKD 21,739,120 | 4.25% |
Holding period | The property was acquired on or after 20 November 2010 and before 27 October 2012 | The property was acquired on or after 27 October 2012 |
---|---|---|
6 months or less | 15% | 20% |
More than 6 months but for 12 months or less | 10% | 15% |
More than 12 months but for 24 months or less | 5% | 10% |
More than 24 months for 36 months or less | - | 10% |
The general tax information on the above content is provided for your ease reference and is not intended to replace any tax advice or other professional advice. Clients should clearly acknowledge and confirm that final decision is reserved by Hong Kong Inland Revenue Department through its tax assessment process. In the event of any inconsistency between the English and Chinese versions of this content, the English version shall prevail.
The Hong Kong 2023-24 Budget
[ 24th February 2023 ]