Hong Kong Passes Legislation for 2017-18 Budget Measures

On 25 May 2015, the Hong Kong government announced the passage of the Inland Revenue (Amendment) Bill 2017 by the Legislative Council. The legislation provides for the implementation of 2017-18 Budget measures, which include:

• Reducing profits tax for the 2016-17 year of assessment by 75%, subject to a ceiling of HKD 20,000 (also applies for salaries tax and tax under personal assessment); and
• Widening the marginal bands for salaries tax from the current HKD 40,000 to HKD 45,000 starting fr…