Hong Kong budget 2024-25: which high earners are going to be forking out more on salaries tax?
- City leader John Lee is the only government official set to contribute extra to public coffers under finance chief’s plan to introduce two-tiered standard rates tax regime
- MTR Corp executives, finance industry leaders and Hong Kong’s former ‘King of Employees’, Canning Fok, will also surpass HK$5 million tax threshold
Hong Kong’s leader, real estate tycoons, university heads and executives at some of the city’s largest companies are in line to pay additional income tax announced as part of the finance chief’s budget speech on Wednesday.
Financial Secretary Paul Chan Mo-po said authorities hoped to introduce a two-tiered standard rates tax regime on salaries, covering some of the city’s wealthiest individuals, in the coming financial year.
Under the new measure, residents will pay a standard rate of 15 per cent for the first HK$5 million (US$638,792) of net income, before going up to 16 per cent for anyone who surpassed that amount.
The tax is currently calculated at a standard rate of 15 per cent or progressive rates ranging between 2 per cent and 17 per cent of a taxpayer’s net income, according to whichever figure is lower.
