Stamp duty concession on acquisition of residential flats by newborn child families

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On 16 September 2026, the Chief Executive proposed in his 2026 Policy Address to provide a stamp duty concession (capped at $20,000) for acquisition of residential flats by families with newborns (“Newborn Concession”). The Government will introduce a stamp duty amendment bill into the Legislative Council to take forward the proposed concession.

How to qualify for the Newborn Concession?

Subject to the passage of the relevant amendment bill, the requirements are –

the property concerned must be a residential property;
the residential property must be acquired by the parent(s) of a child born in Hong Kong on or after 16 September 2026 ("eligible child");
either parent of the eligible child is a Hong Kong permanent resident;
the parent is acting on his or her own behalf in acquiring the residential property; and
the residential property must be acquired within one year before or two years after the date of birth of the eligible child.

If a child was born outside Hong Kong, is the Newborn Concession available?

No. The initiative is to encourage childbirth in Hong Kong. The Newborn Concession does not apply to births that took place outside Hong Kong.

How to compute the amount of ad valorem stamp duty (“AVD”) payable if the Newborn Concession is applicable?

The AVD chargeable on the applicable instrument will be reduced by an amount equal to the lesser of:

a. AVD payable at Part 1 of Scale 1 or Scale 2 rates in the First Schedule to the Stamp Duty Ordinance on the instrument; and

b. $20,000.

Example 1

The AVD payable on an instrument, charged under Part 1 of Scale 1 or Scale 2, is $19,000.

The AVD payable after the Newborn Concession will be nil.

Example 2

The AVD payable on an instrument, charged under Part 1 of Scale 1 or Scale 2, is $21,000.

The AVD payable after the Newborn Concession will be $1,000 (i.e. the difference between $21,000 and the $20,000 concession cap).

If a couple has two eligible children, can each parent apply for the Newborn Concession in respect of each child?

Yes. The Newborn Concession is granted on a child basis. A parent can apply for the Newborn Concession in respect of two eligible children for two separate residential properties; or each parent can apply for the concession in respect of one eligible child each for one residential property; or both parents can apply for the concession (i.e. up to $40,000) in respect of the children for their jointly owned residential property.

Can a parent apply for the Newborn Concession before the enactment of the amendment ordinance?

Before the amendment ordinance is enacted and comes into operation, instruments will be charged with AVD at the prevailing Part 1 of Scale 1 or Scale 2 rates. However, the parent may apply for a refund of the excess of AVD paid (see Q3 above) for instruments qualifying for the Newborn Concession upon enactment of the amendment ordinance. IRD will issue guidelines on the application of refund after the passage of the relevant amendment bill.

If a parent has paid stamp duty on an instrument for acquiring a residential property within 1 year before his/her child was born in Hong Kong, can the parent apply for a refund of part of the stamp duty paid?

If the instrument is qualified for the Newborn Concession, the parent can apply for a refund of the excess of AVD paid (see Q3 above) upon enactment of the amendment ordinance. IRD will issue guidelines on the application of refund after the passage of the relevant amendment bill.