Hong Kong - Other taxes and levies

Hong Kong - Other taxes and levies

Taxation of international executives

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Social security levies

Are there social security/social insurance taxes in Hong Kong? If so, what are the rates for employers and employees?

There are no social security/social insurance taxes in Hong Kong.

Mandatory provident fund

Employers are required to make arrangements for all employees aged between 18 and 65 normally residing and working in Hong Kong to join a mandatory provident fund (MPF) scheme. However, exemption from the MPF requirements is available to any person entering Hong Kong for the purpose of being employed or self-employed (i.e., on a valid employment visa) for a limited period (13 months or less) or who is a member of an overseas retirement scheme.

Employer and employee

Relevant Income - includes wages, salary, leave pay, fee, commissions, bonuses, gratuity, perquisites, or allowances expressed in monetary terms, paid or payable by an employer (directly or indirectly) to the employee, but does not include severance payment or long service payments under the Employment Ordinance.

  Paid by employer Paid by employee
 
 
Total
Mandatory Provident Fund 5% of relevant income, maximum contribution of HKD1,500 a month 5% of relevant income, maximum contribution of HKD1,500 a month 10% of relevant income, maximum contribution of HKD3,000 a month

Gift, wealth, estate, and/or inheritance tax

Are there any gift, wealth, estate, and/or inheritance taxes in Hong Kong?

None. Estate duty was abolished with effect from February 2006.

Real estate tax

Are there real estate taxes in Hong Kong?

Yes. Income from land and buildings located in Hong Kong is subject to property tax.

Sales/VAT tax

Are there sales and/or value-added taxes in Hong Kong?

No.

Unemployment tax

Are there unemployment taxes in Hong Kong?

No.

Other taxes

Are there additional taxes in Hong Kong that may be relevant to the general assignee? For example, customs tax, excise tax, stamp tax, and so on.

  • Stamp duty may be payable on transactions of properties and transfers of Hong Kong stock.
  • Excise duty on liquor (excluding beer and wine) and tobacco.
  • Rates on properties.

© 2016 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

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