Luxury property stamp duty | The Land and Construction Industry Association urges the government to postpone the implementation date to July 1

The latest “Budget” proposes raising the stamp duty rate for luxury homes worth more than 100 million yuan from 4.25% to 6.5%, which took effect on February 26.

The Hong Kong Construction and Housing Association submitted comments on the bill, requesting the government to postpone the implementation date of the increased stamp duty to July 1, hoping that the situation in the Middle East can be more stable by then. It also stated that, for any transactions involving a single residential unit with an amount not exceeding 100 million yuan, even if there are other transactions involving (i) other units within the same building, and (ii) other transactions involving the same purchaser or cooperating buyers, they will not be considered part of a series of transactions, so as to avoid any unexpected negative impact on urban redevelopment.

At the committee meeting of the Legislative Council’s “Stamp Duty (Amendment) (2026) Bill” yesterday, some lawmakers raised concerns about the impact on the market after the tax increase. The Permanent Secretary for Financial Affairs and the Treasury (Treasury), Lai Chihua, emphasized that after the government announced the tax increase, there are still property transactions involving residential properties worth more than 100 million yuan, which require more time to assess. He expressed confidence that the overall impact on the property market will be low.