Hong Kong’s Legislative Council has passed the Inland Revenue (Amendment) (Tax Concessions) Bill 2025, according to an announcement by the Inland Revenue Department (IRD) on 30 April 2025.
The bill was introduced as part of the government’s 2025-26 Budget to provide financial relief to taxpayers.
The new legislation grants a one-time 100% reduction in profits tax, salaries tax, and tax under personal assessment for the 2024/25 year of assessment. However, the amount of tax relief available is limited to a maximum of HKD 1,500 per case.
This tax concession aims to ease the burden on individuals and businesses amid ongoing economic pressures. Eligible taxpayers will automatically receive the reduction when their final tax liability is assessed.
Earlier, the Hong Kong Inland Revenue Department announced the Inland Revenue (Amendment) (Tax Concessions) Bill 2025, introducing a one-off reduction of profits tax, salaries tax, and personal assessment tax for the 2024/25 assessment year, as proposed in the 2025-26 Budget.
