Property Tax

Hi there,


Are there any specific taxes around buying/ selling property in Hong Kong that people should be aware of? i.e. stamp duty, capital gains taxes etc (as we have here in the UK).


Thanks

Stamp Duty only.

stellarboy, it depends upon what you buy the property for....if you buy it to live in it & don't sell it for a year or so then no, you have no CGT (here they call it profits tax) to pay. If however you buy it under your own name & rent it then you have property tax to pay - which is tax on the rental you receive from it. If you then sell that property within a year of buying it & don't re-invest some/all of the proceeds into another property then you may have to pay profits tax - which as it states is a tax on the profit you make as the HK inland revenue department look at this as trading. It is a VERY grey area so the time-frames I have given you are only rough guidelines - it depends upon who assess your case & how they view it. If you buy & sell many within a short time-frame then this will be classified as trading.

If you buy under a company name then you will have to pay profits tax. You will also have to pay property tax (what we in the UK call income tax) if you rent it.


Hope this helps & goodluck!