The Inland Revenue (Amendment) (Tax Concessions) Bill 2025, gazetted on March 7, 2025, aims to amend the Inland Revenue Ordinance to provide one-off tax reductions for the year of assessment 2024/25, affecting approximately 2.14 million individuals and 165,400 businesses.
This article was generated using SAMS, an AI technology by Timothy Loh LLP.
SPOTLIGHT ON
FAMILY OFFICES
On March 7, 2025, the bill Inland Revenue (Amendment) (Tax Concessions) Bill 2025 was gazetted in LegCo. The bill seeks to amend the Inland Revenue Ordinance (Cap. 112) to implement one-off tax reduction measures for the year of assessment 2024/25 as proposed in the 2025-26 Budget.
The bill is about amending the Inland Revenue Ordinance (Cap. 112) to provide tax concessions for the year of assessment 2024/25. The proposed tax reductions include:
- Salaries tax and personal assessment tax reductions of 100%, up to a ceiling of $1,500, for taxpayers chargeable to these taxes.
- Profits tax reduction of 100% for corporations and unincorporated businesses.
These measures will benefit approximately 2.14 million taxpayers under salaries tax or personal assessment, and about 165,400 corporations and unincorporated businesses under profits tax. Approximately 16% of taxpayers and 12% of businesses will be exempt from paying tax for the year of assessment 2024/25.
Amending the Inland Revenue Ordinance is the sole option to implement these tax reduction measures.
View the full article:Source
