In this course · 2 of 4
Course 7
Stamp duty, rent and royalties
4 lessons · 6 min
The short answer
Hong Kong property stamp duty for instruments signed on or after 26 February 2026 is HK$100 up to HK$4 million, rising by bands to 4.25% for prices from about HK$21.7 million to HK$100 million. Residential property above HK$100 million pays up to 6.5%. Leases pay 0.25% to 1% of rent, depending on the term.
Property sales (per GovHK, instruments executed on or after 26 February 2026). Residential property (Scale 1 Part 1 and Scale 2) and non-residential property (the new Scale 3) share the same graduated rates up to HK$100 million, based on the higher of the price or value:
| Price | Duty |
|---|---|
| Up to HK$4,000,000 | A flat HK$100 |
| Slightly above HK$4 million | HK$100 plus 20% of the excess, until duty reaches 1.5% of the price (about HK$4.32 million) |
| To HK$4.5 million | 1.5% of the whole price |
| About HK$4.94 million to HK$6 million | 2.25% of the whole price |
| About HK$6.64 million to HK$9 million | 3% of the whole price |
| About HK$10.08 million to HK$20 million | 3.75% of the whole price |
| About HK$21.74 million to HK$100 million | 4.25% of the whole price |
Between those points a slice formula (for example HK$67,500 plus 10% of the excess over HK$4.5 million) smooths the step.
Above HK$100 million. For residential property, duty is HK$4,250,000 plus 30% of the excess over HK$100 million until the duty reaches 6.5% of the price (about HK$109.6 million), and 6.5% of the whole price beyond that. This raised the top rate from 4.25% to 6.5%. For non-residential property, Scale 3 stays at 4.25% above about HK$21.74 million.
Leases of property. Rates depend on the term: 0.25% of rent for up to one year (total rent), 0.5% of yearly rent for one to three years, and 1% of yearly rent for over three years. Key money and similar premiums have separate rates.
Notes
- Other measures (for example duties on early resale) have changed over time; check the Inland Revenue Department (IRD) Stamp Office pages for your transaction date.
- The Budget also proposed waiving stamp duty on transfers of non-residential property into REITs, which needs legislation.
- Property developers and traders may also face profits tax on sale profits.
Legal basis and sources
The law
- Stamp Duty Ordinance (Cap. 117), Schedule 1
Official sources
General information for business owners, not legal, tax or professional advice. Rules change, so check the sources or ask a licensed professional before you act.
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