Stamp Duty (Amendment) (Stock Transfers) Bill 2023 gazetted

On October 25, 2023, the Hong Kong government published a press release to announce the gazettal of the Stamp Duty (Amendment) (Stock Transfers) Bill 2023. The Bill will modify the Stamp Duty Ordinance to reduce the stamp duty rate on stock transfers, including sales and purchases, from 0.13% to 0.1%. The Bill will be introduced into the Legislative Council on November 1, 2023 for a first reading. The purpose of the rate reduction is to lower investors‘ transaction costs, to help attract more enterprises to list in Hong Kong, and enhance Hong Kong’s overall financial market competitiveness.
To recall, the rate was increased from 0.1% to 0.13% in 2021 to increase the revenues of the government. The now intended decrease follows a corresponding recommendation by the Task Force on Enhancing Stock Market Liquidity.