Adjustment to Value Bands of Ad Valorem Stamp Duty payable for sale and purchase or transfer of residential and non-residential properties (Scale 2 rates)
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At present, AVD at Scale 2 rates is mainly applicable to acquisition of residential properties (subject to specific conditions) and acquisition of non-residential properties. Only the acquisition of residential property by a Hong Kong permanent resident who is acting on his or her own behalf and is not a beneficial owner of any other residential property in Hong Kong at the time of acquisition is chargeable to AVD at Scale 2 rates. The value bands on which the AVD Scale 2 rates apply have not been adjusted since 2010. The value bands proposed in Budget is at Annex.
The aforementioned adjustment to the value bands of AVD (Scale 2 rates) will be implemented through the Stamp Duty (Amendment) Bill 2023 (the Bill). The Chief Executive has made the Public Revenue Protection (Stamp Duty) Order 2023 (the Order) by exercising his statutory powers to give full force and effect of law to the Bill so long as the Order remains in force. The Order and the Bill will be published in the Gazette today and on March 3 respectively, and introduced into LegCo on March 15.
Any instruments executed before 11am on the Effective Date remain chargeable to AVD at the original Scale 2 rates.
Ends/Wednesday, February 22, 2023
Issued at HKT 22:41
Issued at HKT 22:41
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