Stamp duty surged 61 per cent as trading and property deals picked up, while profits and salaries tax also recorded solid gains
Hong Kong’s overall tax revenue rose 22 per cent to HK$458.3 billion (US$58.5 billion) last year, driven by a buoyant stock market and increased property transactions.
Commissioner of Inland Revenue Benjamin Chan Sze-wai, on Monday announced the provisional tax figures for the year ending March 31. The increase was led by a 61 per cent surge in stamp duty to HK$102.6 billion, alongside a 20 per cent rise in profits tax to HK$212.6 billion and a 10 per cent increase in salaries tax to HK$97.7 billion.
“The volume of property transactions has increased, while prices have remained relatively stable,” Chan said. “But the largest portion relates to the stamp duty on stock transactions.”
He noted that average daily turnover on Hong Kong Exchanges and Clearing rose in the latest financial year, supported by a strong pipeline of initial public offerings (IPOs).
“This is a major factor contributing to the growth in our tax revenue,” he said.
According to financial intelligence firm LSEG Data and Analytics, a total of 37 companies raised about US$13.26 billion on the stock exchange’s main board in the first three months of this year, a 453 per cent increase year on year.
Source: News - South China Morning Post
