Owners of land and/or buildings in Hong Kong are subject to a property tax computed at the standard rate on the net assessable value.

Companies carrying out business in Hong Kong are exempt from property tax but subject to profits tax.

Rate

The standard rate for 2020/2 is 15 percent.

Tax treaties network

Hong Kong has 45 comprehensive tax treaties in place or ratified with major trading and investment partner countries.

However, Hong Kong does not yet have a double taxation agreement with Sweden.

Please note that in order to benefit from the reduced withholding tax rates granted by a tax treaty, it is important to address eventual anti-treaty shopping or tax avoidance rules that may be applicable in the tax treaty and/or a partner country’s domestic legislation.  These rules may require, for example, having sufficient “substance”, such as a physical presence, in the treaty country.

OTHER SWEDCHAM MEMBERS IN THE INDUSTRY
MORE ON DOING BUSINESS IN HONG KONG

Tax Environment

Opening a Bank Account

Recruiting and Talent Retention in Hong Kong

Law and the Judicial Sphere