Did you know that the usual 16.5% tax rate isn’t the lowest you could be paying?
From July 5, 2024, Hong Kong introduces the “Patent Box” tax incentive aimed at encouraging businesses to leverage their patents and boost research and development efforts. Starting from the 2023/24 tax year, profits derived from qualifying intellectual properties—like patents, software copyrights, and plant variety rights—could enjoy a significantly reduced tax rate of just 5%.