Skip to main content

This is a new service – your feedback will help us to improve it.

Posted Sun, 04 Jun 2023 13:44:59 GMT by agnesho
I own a property in Hong Kong which has been rented out. I understand the rental income is taxable under my income tax. But I wonder if the following expenses would be deductible? - Government rates paid to Hong Kong Government which is one of Hong Kong's indirect taxes levied on properties - Property tax paid to Hong Kong Government - Stamp duty paid to Hong Kong Government for setting up the lease agreement - Property management fee paid to property management company - Interest paid for the re-mortgage financing plan, other than the existing mortgage plan with a local bank - which this be included as the finance cost and can applied the 20% tax relief
Posted Mon, 05 Jun 2023 15:35:50 GMT by HMRC Admin 8
Hi,
Thank you for your question. The Government rates paid to the Hong Kong Government would be allowable against the rental profits.
Please clarify why you were required to pay property tax. Regarding the cost of the lease, please please refer to:
Deductions: main types of expense: legal and professional costs
You may also wish to refer to:
Tax relief for residential landlords: how it's worked out and
Deductions: interest: restriction for income tax purposes from 2017/18: introduction
Thank you

You must be signed in to post in this forum.