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Hong Kong Stamp Duty Guide: Property & Tenancy Stamp Duty Rates

Hong Kong Stamp Duty Guide: Property & Tenancy Stamp Duty Rates

By Andrew HoLast updated: August 202611 min read
Statutory source alignment verified for August 2026 by Andrew Ho (Statutory Research)

Hong Kong Stamp Duty is a statutory transaction duty governed by the Stamp Duty Ordinance (Cap. 117) and administered by the Stamp Office of the Inland Revenue Department. Stamp duty applies to conveyances on sale of residential and commercial property, agreements for sale, and tenancy agreements (leases).

Ad Valorem Stamp Duty (AVD) Scale 2 Rates

Ad Valorem Stamp Duty (AVD) is calculated on the consideration (purchase price) or market value of the property, whichever is higher. Under Scale 2 (applicable to Hong Kong Permanent Residents acting on their own behalf without owning other residential property):

Property Consideration / Value (HKD)Scale 2 AVD Rate
Up to HK$3,000,000HK$100 flat
HK$3,000,001 – HK$3,528,240HK$100 + 10% of excess over HK$3M
HK$3,528,241 – HK$4,500,0001.50%
HK$4,500,001 – HK$6,000,0002.25%
HK$6,000,001 – HK$9,000,0003.00%
HK$9,000,001 – HK$20,000,0003.75%
Above HK$21,739,1304.25%

Tenancy Agreement (Rental Lease) Stamp Duty

When renting residential or commercial premises in Hong Kong, the tenancy agreement must be submitted to the Stamp Office for stamping within 30 days of execution. Duty is customarily split 50/50 between landlord and tenant:

  • Lease Term ≤ 1 Year: 0.25% of total rent payable over the term.
  • Lease Term > 1 Year & ≤ 3 Years: 0.50% of average annual rent (AAR).
  • Lease Term > 3 Years: 1.00% of average annual rent (AAR).
  • Counterpart Fee: HK$5 per duplicate counterpart document.

Stamping Procedures & Late Payment Penalties

Instruments must be stamped within 30 days of execution. Electronic stamping (e-Stamping) is available online via eTAX for tenancy agreements and property transfers. Late payment incurs strict surcharges:

  • Late by ≤ 1 month: 2 times the duty payable.
  • Late by 1–2 months: 4 times the duty payable.
  • Late by > 2 months: 10 times the duty payable.

Frequently Asked Questions

What is the Ad Valorem Stamp Duty (AVD) rate in Hong Kong?

For Hong Kong Permanent Residents purchasing their sole residential property, Scale 2 AVD rates apply, starting at a flat HK$100 for properties up to HK$3 million, rising progressively to 1.5%, 2.25%, 3%, 3.75%, up to a maximum cap of 4.25% for properties valued above HK$21.73 million.

What is Buyer's Stamp Duty (BSD) in Hong Kong?

Buyer's Stamp Duty (BSD) was introduced for non-Hong Kong permanent residents and corporate purchasers. Following recent government budget updates, BSD and Special Stamp Duty (SSD) demand-management cooling measures have been lifted to stimulate property transactions.

How is stamp duty calculated on rental tenancy agreements in Hong Kong?

Rental lease stamp duty (stamping of tenancy agreement) is calculated on average annual rent: 0.25% for leases under 1 year, 0.5% for leases between 1 and 3 years, and 1% for leases exceeding 3 years, plus HK$5 for duplicate counterparts.

When must Hong Kong stamp duty be paid to the IRD?

Stamp duty must be paid within 30 days after the execution of the sale and purchase agreement or tenancy lease document. Late payment incurs statutory penalties up to 10 times the duty owed.

Hong Kong Tax Tools & Related Guides

HK Stamp Duty Calculator

Calculate Scale 2 AVD & lease stamping fees.

Hong Kong Property Tax Guide

15% standard rate on rental income.

Rental Income Tax Guide

Landlord statutory deductions & NAV.

Hong Kong Salaries Tax Guide

Progressive brackets (2%-17%) & MPF rules.

Hong Kong eTAX Guide

Online e-Stamping & tax filing portal.

Hong Kong Car Tax Guide

First Registration Tax & EV concessions.

Official Authorities & References