The Hong Kong Inland Revenue Department has 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.

The Inland Revenue (Amendment) (Tax Concessions) Bill 2025 will be gazetted on March 7 to implement the one-off tax concessions proposed in the 2025-26 Budget.

The Budget proposes 100% one-off reductions of salaries tax, tax under personal assessment, and profits tax for the year of assessment 2024/25, subject to a ceiling of HKD 1,500 per case. The reductions will be reflected in the final tax payable for the year of assessment 2024/25.

The proposals will benefit about 2.14 million taxpayers and about 165,400 tax-paying businesses. Government revenue in 2025-26 will be reduced by about HKD 3.1 billion.

The Bill will be introduced into the Legislative Council for the first reading and the commencement of the second reading debate on 19 March 2025.

Earlier, Hong Kong Financial Secretary Paul Chan presented the 2025-26 budget on 26 February 2025.