Highlights of Hong Kong 2025/26 Budget
Source : The 2025-26 Budget[](https://www.budget.gov.hk/2025/eng/pf.html)
Post of Hong Kong Budget 2025-2026
- The Hong Kong 2025/26 Budget highlights include increased spending on infrastructure and social services, a new billion fund for an AI institute, and a focus on strengthening Hong Kong's position as an international financial and trade center. The budget also anticipates a consolidated deficit of billion for 2025-26. Other key areas include a new tax incentive for the shipping industry, a drive to develop Hong Kong as an aircraft dismantling hub, and incentives to boost the tourism industry.
Economic and fiscal
Economic performance
Economic performanc: The economy grew by 2.5%
in the previous year, with exports up by 4.7%
Government finance
Total government revenue is estimated at $HK9.4 billion.
Total government expenditure is estimated at $HK2.3 billion.
A consolidated deficit of $HK billion is forecast for 2025-26.
Fiscal reserves are predicted to be around $HK7.3 billion as of March 31, 2025, and decrease to $HK0.3 billion by the end of March 2026.
Taxation and revenue
Introduction of the global minimum tax proposal will bring in an estimated $HK billion annually.
Increase in air passenger departure tax from $HK0 to $HK0, effective October 2025.
Review of tunnel tolls, electric vehiclelicence fees, and parking meter charges to increase revenue by an estimated $HK billion.
Introduction of a $HK0 application fee for various talent and capital investor admission schemes.
Industry and innovation
Artificial Intelligence
A $HK billion fund will be established to set up an AI research and development institute, along with a three-year subsidized scheme to access the Cyberport AI supercomputing center.
Financial and trade services
Expansion of the tax treaty network, especially with Belt and Road jurisdictions.
Tax exemptions for certain intellectual property-related expenditures will be reviewed and enhanced.
Waiving the buy-side stamp duty on stock trading to boost trading volume.
Shipping and aviation
Establishment of the Hong Kong Maritime and Port Development Board.
Promotion of Hong Kong as Asia's first aircraft dismantling, parts recycling, processing, and trading center.
Allocation of funding to promote the use of sustainable aviation fuel.
Other key highlights
Housing
The government plans to provide 190,000 public housing units over the next five years and expects the completion of over 17,000 private residential units annually.
Tourism
An allocation of $HK.23 billion to the Hong Kong Tourism Board to implement "tourism is everywhere" initiatives.
Infrastructure and development
Continued investment in capital works projects, including infrastructure, housing, and education.
Focus on green development through a $HK0 million subsidy scheme to install fast chargers and funding for electric buses and taxis.
Public sector
Reduction in the rate of reduction of recurrent government expenditure from 1% to 2% in 2025-26.
Civil servants will face a pay freeze for the fiscal year.
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利得税
香港采用地域来源原则，任何人士(包括法团、合夥业务、受讬人或团体)在香港经营行业、专业或业务所得的利润需在本港纳税。根据「地域来源地」税制特色，不管该人士的国籍及居住地在何地，只有在香港产生或得自香港的利润，才须予以征收利得税。
薪俸税
凡是源自香港任职、受僱及退休金的入息均需缴纳薪俸税。入息包括工资、薪金、假期工资、花红、佣金、小费、津贴、酬金及额外赏赐等。如该人士之受僱於香港公司并於香港提供服务，其所得的全部收入，均需缴纳薪俸税，除非该人士付合特定豁免征税条件。