On 29 September 2026, the Hong Kong Government gazetted the Stamp Duty (Amendment) (No. 3) Bill 2026, marking the third round of stamp duty amendments this year. The bill proposes targeted adjustments to ad valorem stamp duty rates and introduces new exemptions for specific corporate restructuring transactions. The legislative move reflects the government’s ongoing calibration of property market measures to ensure stability while facilitating legitimate commercial activities. The bill will undergo the standard legislative scrutiny process at the Legislative Council, with an anticipated effective date of 1 January 2027.
Key Takeaways
- Rate Adjustments for Corporate Acquisitions: The bill proposes an increase in ad valorem stamp duty rates for non-residential property acquisitions by corporate entities, aiming to curb speculative investment by property holding companies.
- Intra-Group Transfer Exemption: A new exemption is introduced for intra-group property transfers that meet stringent criteria, including 90% common ownership and a three-year holding period, facilitating corporate reorganization without triggering stamp duty liabilities.
- Transitional Arrangements: Agreements for sale and purchase executed before the gazettal date will benefit from transitional provisions, allowing the previous stamp duty rates to apply provided the agreement is stamped within 30 days of execution.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement