Hong Kong corporate tax rate
Profits Tax — the tax on assessable profits of businesses carrying on a trade, profession or business in Hong Kong. This series carries the standard/headline rate for CORPORATIONS. Profits Tax operates on a TWO-TIERED basis (a lower rate on the first tranche of profits, the standard rate above it) — see notes.
| Current value | 16.5 percent |
|---|---|
| In force from | 2008-04-01 |
| Official source | Inland Revenue Department — 'Profits Tax': normal rate for corporations 16.5% (from year of assessment 2008/09); two-tiered rates 8.25% on assessable profits up to $2,000,000 and 16.5% above (from year of assessment 2018/19). Inland Revenue Ordinance Cap. 112 |
| Last verified | 2026-07-23 |
| Verification | primary — No verification limitation recorded — read from the official source cited. |
| Provenance | source fingerprint |
What this value means
Standard/headline Profits Tax rate for corporations is 16.5% (in force since year of assessment 2008/09, when it was cut from 17.5%). TWO-TIERED regime (year of assessment 2018/19 onwards): a corporation pays 8.25% on the first HK$2,000,000 of assessable profits and 16.5% on the balance above HK$2,000,000. For unincorporated businesses (sole proprietors/partnerships) the equivalent rates are 7.5% and 15%. Anti-fragmentation rule: only ONE entity in a group of 'connected entities' may elect the two-tiered rates in a year of assessment. Hong Kong taxes on a TERRITORIAL basis — only profits arising in or derived from Hong Kong are chargeable; there is no separate tax on capital gains and no dividend withholding tax. Verified on the IRD's official Profits Tax page (Inland Revenue Ordinance Cap. 112). effective_from is set to the start of YA 2008/09 (1 Apr 2008), when the 16.5% headline rate took effect; the two-tier split dates from YA 2018/19 (1 Apr 2018).
Get it programmatically
curl https://asiaref.dev/v1/hk/corporate-tax
# $0.001 per call — x402 on Base (USDC). No key, no signup.
# History: curl https://asiaref.dev/v1/hk/corporate-tax/history?from=2020-01-01
# Provenance: curl https://asiaref.dev/provenance/hk/corporate-taxOther Hong Kong series: policy interest rate · VAT rate · minimum wage · public holidays · inflation rate (CPI) · income tax rates