Question 1

What entry rights and short-stay conditions apply to foreign nationals in Hong Kong?

Accepted Answer

Hong Kong allows visa-free entry for nationals of approximately 170 countries and territories. Permitted stays range from 7 to 180 days depending on nationality. British citizens may stay up to 180 days. United States, Canadian, Australian, Japanese, South Korean and most European Union passport holders may stay up to 90 days for tourism, business meetings or family visits. Mainland China residents are subject to a separate permit regime administered by Mainland authorities (Exit-entry Permit for Travelling to and from Hong Kong and Macao, commonly the Two-way Permit). Indian nationals must complete a Pre-arrival Registration (PAR) to obtain visa-free entry for stays of up to 14 days. Permissible activities under short-stay visa-free entry include tourism, attending business meetings, conferences and trade shows, but not paid employment, journalism for foreign media, or contract performance for a Hong Kong employer.

Question 2

What long-term residence options exist in Hong Kong for internationally mobile individuals?

Accepted Answer

Hong Kong operates a structured set of admission schemes administered by the Immigration Department under the Immigration Ordinance Cap. 115. The Top Talent Pass Scheme (TTPS), launched 28 December 2022, accepts three categories without prior job offer. Category A targets annual income of HKD 2.5M or above (defined by the Immigration Department as taxable employment or business income), with a 36-month initial stay in effect from 16 October 2024 (previously 24 months). Category B covers degree graduates of eligible universities on the aggregate list (200 institutions effective 1 January 2026, up from 199) with at least 3 years of work experience, 24 months initial stay. Category C targets recent graduates with under 3 years of experience and is subject to an annual quota allocated on a first-come first-served basis. TTPS does not apply to nationals of Afghanistan, Cuba and Korea (DPRK). The Quality Migrant Admission Scheme (QMAS) had its General Points Test (GPT) enhanced with effect from 1 November 2024, replacing the prior item-by-item scoring (245 points maximum, 80 passing threshold) with a binary assessment questionnaire of 12 criteria across six aspects (age, academic qualifications, language proficiency, work experience, annual income, business ownership), with a passing threshold of 6 criteria. No annual quota under the enhanced GPT, 36 months initial stay. The General Employment Policy (GEP) is the standard employer-sponsored route, quota-free, with streamlined processing for the 60 professions of the Talent List updated 1 March 2025. The Admission Scheme for Mainland Talents and Professionals (ASMTP) broadly mirrors GEP for Chinese nationals residing in the Mainland.

The Technology Talent Admission Scheme (TechTAS) operates through quotas allocated to sponsoring companies by the Innovation and Technology Commission, with each company normally allotted up to 100 quotas per year. Following the enhancement measures effective 24 December 2025, the requirement to engage in R&D in the previously designated 14 technology areas was lifted, and a parallel quota plus visa application procedure was introduced. Initial stay of 36 months on employment condition. The New Capital Investment Entrant Scheme (New CIES), effective 1 March 2024, requires HKD 30M minimum, of which HKD 27M in permissible financial assets or eligible real estate, plus HKD 3M placed in the CIES Investment Portfolio managed by Hong Kong Investment Corporation Limited. Effective 17 September 2025, the aggregate real estate cap was raised from HKD 10M to HKD 15M, but the countable residential property amount remains capped at HKD 10M and the qualifying single residential unit transaction price was lowered from HKD 50M to HKD 30M. The 1 March 2025 reform allows investments held through a Family-owned Investment Holding Vehicle or Family-owned Special Purpose Entity managed by an eligible Single Family Office (assets of HKD 240M or above under Schedule 16E of the Inland Revenue Ordinance). The 1 March 2026 update removed the six-month minimum incorporation period for the eligible private holding company, allowing applicants to use recently incorporated vehicles for asset allocation. Cumulative metrics as at 28 February 2026: approximately 3,166 applications received with anticipated investment of about HKD 95Bn, of which 1,762 applicants have completed their investments and received formal approval. Initial stay of 24 months, extensions of up to three years renewable subject to portfolio maintenance. Investment as Entrepreneurs (under the GEP framework) requires a detailed business plan covering source of funds, expected turnover and local job creation in the coming years, with no statutory minimum capital. The Admission Scheme for the Second Generation of Chinese Hong Kong Permanent Residents (ASSG) targets overseas-born applicants aged 18 to 40 with at least one parent holding a valid Hong Kong Permanent Identity Card and who was a Chinese national settled overseas at the time of the applicant's birth. The Immigration Arrangements for Non-local Graduates (IANG) grant 24 months to graduates of full-time locally-accredited Hong Kong programmes or Greater Bay Area campus graduates, with extension on a 3-3 year pattern. The Vocational Professionals Admission Scheme (VPAS) is a pilot covering 34 VTC Higher Diploma programmes across 12 trades for 2025-26 (13 trades from 2026-27), with first applications opening upon graduation of the inaugural cohort in mid-2026, excluding nationals of Afghanistan, Cuba, Laos, Korea (DPRK), Nepal and Vietnam. The Working Holiday Scheme covers 13 partner countries for nationals aged 18 to 30 (Australia 5,000, Japan 1,500, UK 1,000, Korea 1,000, France 750, Germany 300, Sweden 500, New Zealand 400, Canada 193, Hungary 200, Ireland 200, Austria 100, Netherlands 100), single-use, 12 months, not normally renewable.

All pathways converge on a seven-year continuous ordinary residence requirement to apply for right of abode, which is not automatic. For New CIES entrants specifically, maintaining the financial requirements throughout seven years does not by itself confer permanent residence. Where the continuous ordinary residence test is not satisfied, applicants may seek unconditional stay after the seventh year. The Top-tier Employment Stream grants an extension on time limitation only after 2 years of stay and HKD 2M annual assessable income for salaries tax. Duration varies by scheme of origin, with 6 years under TTPS, IANG and ASSG, and 5 years under GEP, ASMTP, QMAS and TechTAS. From 1 March 2026, the extension filing window expanded from 4 weeks to 3 months before expiry of stay across GEP, ASMTP, TechTAS, IANG, QMAS and ASSG, with TTPS already aligned since 1 November 2024.

Question 3

How does taxation apply to residents and foreign-source income in Hong Kong?

Accepted Answer

Hong Kong applies a territorial source principle for both individuals and corporations. Salaries tax under the Inland Revenue Ordinance Cap. 112 covers only employment income arising in or derived from Hong Kong, irrespective of residency status. Tax residency itself does not trigger worldwide taxation. Salaries tax progresses from 2% to 17% on net chargeable income, capped at the two-tiered standard rate of 15% on the first HKD 5M of net income and 16% above without allowances, effective from year of assessment 2024/25 under the Inland Revenue (Amendment) (Tax Concessions and Two-tiered Standard Rates) Ordinance 2024. The taxpayer pays the lower of the two computations. There is no capital gains tax, no dividend tax, no inheritance tax (estate duty abolished 11 February 2006), no general value-added tax. Mandatory MPF contributions are 5% of relevant income capped at HKD 1,500 per month.

Profits tax operates on a two-tiered basis since 1 April 2018 (sections 14AA-14AB IRO). Corporations pay 8.25% on the first HKD 2M of assessable profits and 16.5% above, unincorporated businesses pay 7.5% and 15%. Only one entity per group of connected entities can elect the two-tiered rates per year of assessment. Major sectoral concessionary regimes apply. 0% profits tax on eligible carried interest received by qualifying persons and a 100% salaries tax exclusion for qualifying employees providing investment management services to certified investment funds under the Inland Revenue (Amendment) (Tax Concessions for Carried Interest) Ordinance 2021, retroactive from 1 April 2020. 5% Patent Box rate on qualifying IP income with OECD nexus computation, effective YA 2023/24 and gazetted 5 July 2024, with a local registration requirement effective 5 July 2026 imposing that foreign patents and plant variety rights filed on or after that date require corresponding Hong Kong registration under the Patents Ordinance Cap. 514 to remain eligible. The Family-owned Investment Holding Vehicle (FIHV) regime grants 0% profits tax under Schedule 16E IRO (effective YA 2022/23) on qualifying transactions, requiring HKD 240M qualifying assets at family level, an eligible Single Family Office in Hong Kong with at least 2 full-time qualified employees and HKD 2M annual local operating expenditure.

The 2026-27 Budget (25 February 2026) proposed expanding FIHV, Unified Funds Exemption (UFE) and Carried Interest qualifying investments to digital assets, precious metals, specified commodities, loan and private credit investments, and other assets, with the amendment bill expected in the first half of 2026 and targeted implementation from YA 2025/26 subject to LegCo passage. Other corporate concessions cover aircraft and ship leasing, treasury management and fund vehicles. An 8.25% concessionary rate applies to qualifying profits of aircraft lessors and aircraft leasing managers under Schedule 17F IRO, with a one-off 100% deduction of aircraft acquisition cost replacing the prior 20% tax base concession for aircraft acquired in YA 2023/24 or later under the Inland Revenue (Amendment) (Aircraft Leasing Tax Concessions) Ordinance 2024. 0% applies to qualifying ship lessors and 0% or 8.25% to ship leasing managers depending on whether the lessor is associated or non-associated (effective 19 June 2020). An 8.25% Corporate Treasury Centre rate applies under section 14D IRO since 1 April 2016. The full 0% Unified Funds Exemption regime covers hedge funds, OFCs and Limited Partnership Funds for qualifying transactions in Schedule 16C assets (effective 1 April 2019, sections 20AM to 20AY IRO). The Onshore Equity Disposal Tax Certainty Scheme treats onshore equity disposal gains as capital in nature where an eligible investor entity has held at least 15% of the investee entity for a continuous period of at least 24 months immediately before disposal, subject to exclusions for insurers and certain property-related investee entities (effective 1 January 2024).

Since 1 January 2023 (further refined 1 January 2024), the FSIE regime restricts the territorial exemption for in-scope MNE entities on offshore interest, dividends, IP income and disposal gains, requiring economic substance, nexus or participation conditions. A 15% Hong Kong Minimum Top-up Tax (HKMTT), the Qualified Domestic Minimum Top-up Tax under OECD Pillar Two, applies to MNE groups with consolidated revenue of EUR 750M or above for fiscal years beginning on or after 1 January 2025 under the Inland Revenue (Amendment) (Minimum Tax for Multinational Enterprise Groups) Ordinance 2025 gazetted 6 June 2025. Hong Kong has obtained OECD transitional qualified status from 1 January 2025 and operates a Pillar Two Portal for top-up tax notifications. R&D super deduction at 300% on the first HKD 2M and 200% on the balance applies under section 16B IRO. Hong Kong has signed 57 comprehensive double taxation agreements as at March 2026, distinct from the People Republic of China DTA network.

Question 4

Can foreign residents open bank accounts and deploy capital in Hong Kong without friction?

Accepted Answer

Hong Kong has no foreign exchange controls. The Basic Law provides that the Hong Kong dollar is freely convertible and that the Government safeguards the free flow of capital within, into and out of Hong Kong. Friction in practice occurs not at the capital-control level but at the banking, AML, tax-reporting and product-access level. Hong Kong remains the leading offshore renminbi hub, processing consistently over 70% of global offshore RMB payments and holding around RMB 1 trillion in offshore RMB deposits and certificates of deposit according to HKMA and SWIFT data.

Foreign residents open personal accounts with HSBC, Standard Chartered, Bank of China Hong Kong and Hang Seng Bank, or with one of the eight HKMA-licensed digital banks formerly designated as virtual banks under the revised HKMA Guideline of 25 October 2024, namely ZA Bank, Mox Bank, livi Bank, WeLab Bank, Airstar Bank, Ant Bank, Fusion Bank and PAOBank. Requirements vary by institution and risk profile. Banks request identity documents that may include a Hong Kong identity card or a travel document depending on the institution, address information, tax-residency self-certification under CRS/AEOI and FATCA documentation where applicable, plus source-of-funds or source-of-wealth evidence depending on the profile. Customer due diligence and ongoing monitoring are mandatory under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (Cap. 615), and banks may apply additional group-level or foreign regulatory standards. Hong Kong is a FATF member and the 2019 FATF/APG mutual evaluation rated its AML/CFT system as sound and effective overall while identifying areas for improvement. Non-resident corporate account opening is selective and risk-based, with banks typically requesting beneficial ownership information, proof of business activity, expected transaction flows, source of funds and evidence of a commercial nexus with Hong Kong. Onboarding timelines vary materially with applicant status, nationality, tax profile and documentation quality, and are not standardised.

Foreign nationals can purchase private residential property in Hong Kong. The Buyer's Stamp Duty (BSD), Special Stamp Duty (SSD) and New Residential Stamp Duty (NRSD) were abolished for instruments executed on or after 28 February 2024 under the Stamp Duty (Amendment) Ordinance 2024. Buyers remain subject to ad valorem stamp duty under Scale 2, with the HKD 100 lowest band raised from HKD 3M to HKD 4M with effect from 26 February 2025 under the Stamp Duty (Amendment) Ordinance 2025, and a graduated scale up to 4.25% above HKD 21,739,120. The Stamp Duty (Amendment) Bill 2026 was gazetted on 6 March 2026 and introduced into the Legislative Council on 18 March 2026 for first reading, proposing to raise the AVD rate on residential property valued above HKD 100M from 4.25% to 6.5% with retroactive effect from 26 February 2026. Pending enactment, the Inland Revenue Department continues to charge stamp duty at the prevailing 4.25% rate, with the difference between the rates becoming payable within 30 days of gazettal of the amendment ordinance once the bill is passed by the Legislative Council.

The Securities and Futures Commission (SFC) regulates securities and futures market activity, with retail access to listed equities, ETFs, REITs, debt securities, structured products, futures and options through regulated channels. OTC derivatives are subject to a dedicated HKMA/SFC reporting, clearing, trading and record-keeping regime, while access to complex, structured or non-listed products remains governed by licensing, conduct, suitability and, in many cases, professional-investor constraints. Crypto access is regulated under a dual licensing framework, with SFC Type 1 and Type 7 licences under the Securities and Futures Ordinance for security tokens and a VATP licence under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance for non-security tokens. Since 1 June 2023, retail access to virtual assets has been legally possible through SFC-licensed VATPs, subject to SFC investor-protection measures, large-cap token eligibility restrictions and platform-specific approvals, with the SFC maintaining an official list of licensed VATPs. The inward Company Re-domiciliation Regime was put in place by the Companies (Amendment) (No. 2) Ordinance 2025, gazetted on 23 May 2025, and allows eligible non-Hong Kong incorporated companies to transfer domicile to Hong Kong without creating a new legal entity and without disrupting legal identity or business continuity. Unilateral tax credits under Schedule 17L of the Inland Revenue Ordinance are available where a re-domiciled company has paid, in its place of incorporation, a tax of substantially the same nature as Hong Kong profits tax on unrealised income or profit because of the re-domiciliation and Hong Kong profits tax later applies to the corresponding realised income or profit, with the credit capped at the lower of the specified tax paid or the Hong Kong profits tax payable on the relevant income.

Question 5

Is Hong Kong a viable operational base for foreign professionals?

Accepted Answer

Hong Kong combines top-tier infrastructure with strategic positioning at the gateway of Mainland China. The Office of the Communications Authority reports fibre-to-the-home and fibre-to-the-building (FTTH/B) residential unit coverage of 96.9% as of March 2026 and FTTH/B household subscription penetration of 89.5% as of December 2025, placing Hong Kong among the most digitally connected jurisdictions globally. English is an official language under Article 9 of the Basic Law and standard in business, finance and law, alongside Cantonese and Mandarin. The legal system is based on common law under Article 8 of the Basic Law. Coworking and serviced office supply is deep in Central, Wan Chai, Sheung Wan, Causeway Bay, Quarry Bay and Kowloon East, with operators including The Executive Centre, theDesk, the Hive, Garage Society, Spaces, Compass Offices, Eaton Club and independent providers. The time zone (UTC+8) overlaps morning hours with European markets and full business days with Asia-Pacific. Hong Kong International Airport (HKG) operates an extensive network of over 220 destinations worldwide through more than 1,100 daily flights by over 120 airlines, anchored by Cathay Pacific, HK Express, Hong Kong Airlines and major international carriers.

Cost of living, particularly residential rent in Hong Kong Island and central Kowloon, ranks among the highest in the world. A one-bedroom apartment in Central typically runs HKD 25,000 to 45,000 per month, with materially lower options in older or peripheral districts. A three-course meal at a mid-range restaurant runs HKD 200 to 400 per person, while upscale dining in premium districts ranges HKD 500 to 1,500 per person.

Healthcare quality is excellent through both public and private systems. Public healthcare is heavily subsidised for eligible residents, with the Hospital Authority covering up to 95% of cost for in-patient services. Life expectancy at birth in 2024 reached 83 years for men and 88 years for women, among the highest globally according to the Census and Statistics Department.

Following the National Security Law of June 2020 and the Safeguarding National Security Ordinance enacted in March 2024 (Article 23 legislation), the United States, United Kingdom, Canada and Australia have updated their travel advisories warning of legal risks tied to political activity, journalism, online expression and access to electronic devices, which may be interpreted broadly and applied extraterritorially. Professionals exposed to political, media, NGO, academic or public-commentary activity face materially higher legal and reputational risk than before 2020.

Hong Kong remains a leading international financial and wealth management centre. 72 of the world top 100 banks operated in Hong Kong as of end-November 2025, and total asset and wealth management business reached HKD 35.1 trillion at end-2024. The single-family office ecosystem grew to 3,384 SFOs by end-2025 according to the Deloitte/InvestHK Market Study released 10 February 2026, a 25% increase over two years, supported by the Family-owned Investment Holding Vehicle (FIHV) tax concession regime under Schedule 16E IRO and by the New Capital Investment Entrant Scheme. The conclusion is nuanced. Hong Kong remains highly viable for finance, wealth management, regional business and China-linked activity, but materially less neutral and less frictionless than before 2020 for professionals exposed to politically sensitive work.

Hong Kong

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Country snapshot

General facts

Tax system

Special tax regimes

Visa and mobility

Your access

Overview

Programmes

Residence by investment

Business founder routes

Work (employer sponsored)

Talent (points based)

Family and dependant routes

Student and graduate routes

Dimensions breakdown

Strongest dimensions

Weakest dimensions

FAQ

What entry rights and short-stay conditions apply to foreign nationals in Hong Kong?

What long-term residence options exist in Hong Kong for internationally mobile individuals?

How does taxation apply to residents and foreign-source income in Hong Kong?

Can foreign residents open bank accounts and deploy capital in Hong Kong without friction?

Is Hong Kong a viable operational base for foreign professionals?

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