Hong Kong Institute of Certified Public Accountants: Recommended to increase the stamp duty on residential property leases. The higher tier of the standard tax rate for salaries should be raised to 16.5%.

Today, the Hong Kong Institute of Certified Public Accountants made recommendations on the Hong Kong government's fiscal budget for the 2026-27 financial year. To ensure the sustainability of public finances, the Institute called for a review of Hong Kong's tax base to meet long-term spending needs, and to explore broader tax items to make revenue more stable. In the short term, the Institute suggested specific measures to increase revenue based on the principle of "those who can pay more", including raising the long-unadjusted stamp duty on residential property leases, and raising the higher tier standard tax rate of salaries tax from 16% to 16.5%, or lowering the income threshold for applying this tax rate to above HK$4 million. The theme of the Hong Kong Institute of Certified Public Accountants' budget proposal is "Enhancing Hong Kong's Advantages: Inspiring Innovation, Attracting Talent, and Building a Bright Future Together". The budget proposal covers four main categories: attracting investment and promoting economic growth; attracting, retaining, and nurturing talent; ensuring sound public finances and tax competitiveness; and supporting the community and promoting sustainable development. The Institute also proposed the introduction of a border development fee for private cars entering controlled zones, to be used to subsidize the facilities and infrastructure maintenance costs of different control zones. To improve tax compliance, the Institute suggested a voluntary declaration program with exemptions from fines for small and online businesses such as online shop owners and key opinion leaders (KOLs).