News Archives (started from April 2014)

Business Registration Fees

For business registration certificates and branch registration certificates commencing on or after 1 April 2015, the amounts of prescribed business registration fee and prescribed branch registration fee remain at $2,000 and $73 respectively.  Please refer to the business registration fee & levy table for details of the total amount payable under a certificate.  Prescribed business registration fees and prescribed branch registration fees are not waived for the year 2015/16.

Revised forms for application for certificate of resident status by company / partnership / trust / body of persons on or after 1 February 2015  

With effect from 1 February 2015, application for certificate of resident status under comprehensive arrangement / agreements for the avoidance of double taxation (“DTA”) by a company / partnership / trust / body of persons has to be made on the following revised application forms:

• IR1313A (1/2015) - for the DTA with the Mainland of China
• IR1313B (1/2015) - for the DTAs with other jurisdictions

The same form applies no matter whether the above applicant was incorporated / established in or outside Hong Kong.  These revised forms can be downloaded here.

SOIPN 8

The Stamp Duty (Amendment) (No. 2) Ordinance 2014 (“the Amendment Ordinance”) was published in the gazette on 25 July 2014. The law has retrospective effect from 23 February 2013 (“Effective Date”).  The Amendment Ordinance increases the Ad Valorem Stamp Duty (“AVD”) rates on certain transactions for both residential and non-residential properties.  Unless specifically exempted or otherwise provided, all instruments executed on or after the Effective Date and chargeable with AVD will be subject to higher (Scale 1) rates.  The Stamp Office Interpretation and Practice Notes No. 8 (Ad Valorem Stamp Duty) is issued to set out how the Department will apply the provisions in relation to AVD and explains the Department’s practices in connection therewith.

SOIPN 1 (Revised)

The Stamp Duty (Amendment) Ordinance 2010 came into effect on 1 April 2010 to cancel the arrangement for the deferral of payment of stamp duty chargeable on agreements for sale of residential property with consideration over $20 million.  The stamp duty deferral arrangement for other agreements for sale of residential property with consideration at $20 million or below was cancelled by the Stamp Duty (Amendment) Ordinance 2011 on 30 June 2011.  The Stamp Duty (Amendment) (No. 2) Ordinance 2014 (“the 2014 Amendment Ordinance”) was published in the Gazette on 25 July 2014, which has a retrospective effect from 23 February 2013.  The 2014 Amendment Ordinance advances the timing for charging ad valorem stamp duty on non-residential property transactions from the conveyance on sale to the agreement for sale.  The SOIPN 1 (revised) was updated to reflect these changes.

SOIPN 6

The Inland Revenue and Stamp Duty Legislation (Alternative Bond Schemes) (Amendment) Ordinance 2013 was enacted in July 2013 to bring particular types of arrangements that are economically equivalent to debt arrangements under tax rules comparable to those applying to debt arrangements and to give stamp duty relief in relation to those types of arrangements.  The Stamp Office Interpretation and Practice Notes No. 6 (“Alternative Bond Schemes”) is issued to set out the interpretation of the relevant stamp duty provisions and the practice to be followed by the Stamp Office

SOIPN 7 (Revised)

“The Stamp Duty (Amendment) Ordinance 2014 (“the Amendment Ordinance”) was published in the gazette on 28 February 2014. The law has retrospective effect from 27 October 2012 (“Effective Date”).  The Amendment Ordinance introduces a Buyer’s Stamp Duty ("BSD") on certain agreements for sale and conveyances on sale of residential property executed on or after that date.  The Stamp Office Interpretation and Practice Notes No. 7 (“Buyer’s Stamp Duty”) is issued to set out the Department’s views and practice on the application of the new provisions in relation to BSD.”

SOIPN 5 (Revised)

"The Stamp Duty (Amendment) Ordinance 2014 (“the Amendment Ordinance”) was published in the gazette on 28 February 2014. The law has retrospective effect from 27 October 2012 (“Effective Date”).  The Amendment Ordinance imposes a higher rate of Special Stamp Duty ("SSD") on certain transactions of residential property acquired on or after the Effective Date if those transactions occur within 36 months after acquisition.  The Department has updated the Stamp Office Interpretation and Practice Notes No. 5 (Revised) (“Special Stamp Duty”) with further examples to illustrate the application and computation of SSD."

The Stamp Duty (Amendment) (No. 2) Ordinance 2014 has been gazetted

The Amendment Ordinance provides the ad valorem stamp duty (AVD) payable on certain instruments dealing with immovable properties executed on or after 23 February 2013 (“Effective Date”) shall be payable at higher rates (Scale 1); and advances the timing for charging AVD on non-residential property transactions from the conveyance on sale to the agreement for sale executed on or after the Effective Date. Please refer to Stamping Circular Nos. 05/2014, 06/2014 and 07/2014 for the new stamping arrangements.  The FAQs and the illustrative examples have also been updated.

DIPN 50

The Inland Revenue and Stamp Duty Legislation (Alternative Bond Schemes) (Amendment) Ordinance 2013 was enacted in July 2013 to bring particular types of arrangements that are economically equivalent to debt arrangements under tax rules comparable to those applying to debt arrangements and to give stamp duty relief in relation to those types of arrangements.  The Departmental Interpretation and Practice Notes No. 50 (“Taxation of Specified Alternative Bond Schemes”) is issued to set out the Department’s views and practice on the application of the new provisions under section 40AB and Schedule 17A of the Inland Revenue Ordinance.

Performance Pledge Annual Report 2013/14

The Inland Revenue Department has achieved all the targets, and exceeded many, in its performance pledges in 2013/14.

The Performance Pledge Annual Report 2013/14 is offered in Adobe PDF (Portable Document Format) Files.  For environmental protection, no hard copy would be produced.

Buyer’s Stamp Duty  

FAQ34 of buyer's stamp duty has been updated to further explain the requirement for making statutory declaration overseas.  A new statutory declaration form (IRSD131A) has also been uploaded.

Buyer’s Stamp Duty  

FAQs from Q25 to Q37 in relation to the procedures for applying exemption of buyer's stamp duty and the making of statutory declaration have been uploaded.  Appendices A and B of Stamping Circular 03/2014 have also been updated.