The Hong Kong Inland Revenue Department has updated its global minimum tax guidance following the territory's signing of a multilateral information exchange agreement on 21 April 2026, enabling multinational enterprise groups to streamline reporting obligations across multiple jurisdictions.
The Hong Kong Inland Revenue Department 9IRD) has updated its guidance on the Global minimum tax and Hong Kong minimum top-up tax for multinational enterprise (MNE) groups by adding a new section on the exchange of GloBE Information Returns.
The update highlights Hong Kong’s signing of the Multilateral Competent Authority Agreement on the Exchange of GloBE Information (GIR MCAA) on 21 April 2026 and notes that the agreement is expected to help reduce compliance burdens for in-scope MNE groups.
This agreement meets the qualification standards established under the GloBE rules, positioning Hong Kong as an active participant in the international minimum tax regime. The timing of this development aligns with global efforts to implement coordinated tax measures for large multinational corporations operating across multiple jurisdictions.
Reduced filing requirements for MNE groups
Following the signing of this multilateral agreement, multinational enterprise groups within scope can now utilise group GloBE filing procedures either within Hong Kong or in other participating jurisdictions. This flexibility stems from provisions outlined in section 6 of Schedule 63 to the Inland Revenue Ordinance.
The practical benefit centres on streamlined reporting obligations. Through the dissemination approach enabled by the agreement, affected multinational groups face fewer jurisdictional filing requirements for their GloBE information returns. This consolidation directly addresses compliance burden concerns that have accompanied the implementation of global minimum tax rules.
