Hong Kong property stamp duty: a complete guide

If you buy residential property in Hong Kong today, you will most likely owe only one stamp duty: Ad Valorem Stamp Duty (AVD) at the rates set on 26 February 2026. The two other duties that applied for years — Buyer’s Stamp Duty (BSD) and Special Stamp Duty (SSD) — were abolished for residential property on 28 February 2024. But the law is not retroactive: if you are buying a flat that was first agreed to be sold before those dates, or if you are buying non-residential property (shops, offices, car parks), the three duties can still stack. This guide explains each duty, who pays it, what changed, and what you need to check with the Inland Revenue Department (IRD) before you sign.

The three stamp duties at a glance

Hong Kong has never had a single "stamp duty rate". Instead, property transactions attract up to three separate charges, each with its own rules. They are calculated on the same base (the sale price or market value, whichever is higher) and they stack — one does not replace or discount the others.

When must stamp duty be paid? And who pays it?

The buyer is responsible for paying stamp duty. You must submit the instrument of sale (the “sub” or formal agreement) to the Stamp Office and pay the duty within 30 days of the date of the agreement for sale and purchase. If you miss that deadline, you face a penalty — typically a fixed late fee plus additional duty of up to ten times the original amount if the delay exceeds one month.

For property bought “off-plan” (i.e., before the flat is built), the 30-day clock starts from the date you sign the preliminary sale and purchase agreement, not the completion date. Do not wait until the mortgage is approved; arrange the funds earlier.

Ad Valorem Stamp Duty (AVD) — the only duty most buyers pay now

AVD is the basic stamp duty on all property transfers — residential or non-residential. Its rates are progressive: the more expensive the property, the higher the percentage on slices of the price.

AVD rates for residential property (effective 26 February 2026)

The Stamp Duty (Amendment) Ordinance 2026 reset the residential rates. The top band now reaches 6.5% for consideration above $100,000,000. The bands below that, up to $100 million, range from a flat $100 at the lowest tier to 4.25%. The full schedule, as verified from the IRD’s published rates, is:

• Up to $4,000,000 → $100
• $4,000,001 – $4,323,780 → $100 + 20% of the excess over $4,000,000
• $4,323,781 – $4,500,000 → 1.5%
• $4,500,001 – $4,935,480 → $67,500 + 10% of the excess over $4,500,000
• $4,935,481 – $6,000,000 → 2.25%
• $6,000,001 – $6,642,860 → $135,000 + 10% of the excess over $6,000,000
• $6,642,861 – $9,000,000 → 3%
• $9,000,001 – $10,080,000 → $270,000 + 10% of the excess over $9,000,000
• $10,080,001 – $20,000,000 → 3.75%
• $20,000,001 – $21,739,120 → $750,000 + 10% of the excess over $20,000,000
• $21,739,121 – $100,000,000 → 4.25%
• $100,000,001 – $109,574,470 → $4,250,000 + 30% of the excess over $100,000,000
• $109,574,471 and above → 6.5%

How these work. The formulas above are not all percentages because some thresholds produce a “smoothing” calculation that avoids a jump at the boundary. For example, a flat worth $5,000,000 falls into the 2.25% band: you pay 2.25% of the full price, not a complicated formula. At $6,500,000, you are in the 3% band, and pay 3% of the price. The middle formulas are only needed when the price lands in the narrow “excess” bands.

For a rough example: a flat sold for $8,000,000. That falls in the 3% band ($6,642,861 – $9,000,000). The duty is 3% × $8,000,000 = $240,000. For a $50,000,000 flat, the duty is 4.25% × $50,000,000 = $2,125,000.

Important caveat: These rates are the verified ones as of 26 August 2026. The IRD may change them again. Always confirm the current bands on the Inland Revenue Department stamp duty rates page before you commit.

AVD for non-residential property

Non-residential property (e.g., a shop, office, or car park) is charged under Scale 3, introduced on 26 February 2026. It follows the same band structure as residential up to $21,739,120 (i.e., the bands up to 4.25%), but then stays at 4.25% — there is no higher band for expensive non-residential property. Ask the IRD for the exact figures if you are buying commercial or industrial space.

What about “Scale 1” — the old higher rate for non-first-time buyers?

Before the 2024 and 2026 changes, there were two “scales” for AVD: Scale 1 (higher rate) and Scale 2 (lower rate). A buyer who was not a Hong Kong Permanent Resident or who already owned a flat paid under Scale 1, at a materially higher percentage. The exact Scale 1 percentage is no longer current and has not been re-verified here. If you need to understand the liability on a transaction that occurred before 26 February 2026, refer to the IRD’s historical rate tables and ask your solicitor.

Special Stamp Duty (SSD) — abolished, but still matters for old deals

SSD was charged on the seller — not the buyer — if they resold a residential property within a short period after purchase. The effect on buyers was indirect: sellers factored it into their asking price, and a buyer who could not complete and had to resell quickly could be hit hard.

Original regime (20 November 2010 – 26 October 2012):

• Held 6 months or less → 15%
• Over 6 and up to 12 months → 10%
• Over 12 and up to 24 months → 5%

Revised regime (acquired on or after 27 October 2012 and disposed of before 25 October 2023):

• Held 6 months or less → 20%
• Over 6 and up to 12 months → 15%
• Over 12 and up to 36 months → 10%

For property acquired on or after 26 October 2021 and disposed of on or after 25 October 2023, the window shortened back to 24 months, with the same rate tiers.

Status now: For any instrument executed on or after 28 February 2024, SSD is abolished for residential property. If you are buying a flat that was first sold after that date, you do not need to worry about SSD at all. But if you are buying a resale flat that was originally bought in 2022 and the seller is completing after 28 February 2024, SSD does not apply — the key date is the execution of the instrument, not the original purchase. Only transactions that were still “on the books” from before 28 February 2024 might still carry SSD liability for the seller. Your solicitor will check.

Buyer’s Stamp Duty (BSD) — abolished, but key for non-HKPR buyers before 2024

From 27 October 2012, BSD applied to buyers who were not Hong Kong Permanent Residents acquiring residential property, including all companies regardless of their owners’ residency. It was charged on top of AVD, at the following rates:

• 27 October 2012 – 24 October 2023 → 15%
• 25 October 2023 – 27 February 2024 → 7.5%
• On or after 28 February 2024 → Abolished

If you are a non-HKPR buyer today, you pay AVD only. But if you are completing a purchase that was agreed before 28 February 2024, you may still owe BSD at the rate then in force. Check the exact date of your instrument and confirm with the IRD.

What to check or do next

Stamp duty calculations can be complex, especially at the band boundaries or if you are buying non-residential property. The rates above are verified as of 26 August 2026, but the law can change. Before signing anything:

• Confirm the current AVD rates on the Inland Revenue Department stamp duty rates page.
• Ask your solicitor whether your transaction is “new” (post-28 February 2024) or “old” (pre-2024) for BSD and SSD purposes.
• If you are a first-time buyer, read the separate guide on first-time buyer stamp duty — there may be relief provisions not covered here.
• Use the IRD’s online stamp duty calculator to get an exact figure.
• Set aside the duty funds before you sign the preliminary agreement; you have only 30 days to pay.

For deeper detail on each duty, see the related guides: AVD rates and bands, SSD and BSD background, what changed in the 2024 and 2026 reforms, and how to calculate your exact stamp duty bill.