Financial secretary Paul Chan announced the last financial budget of his term. Due to the serious impact of the 5th wave of COVID-19, the budget provides a series of support to local commerce and this is the brief:
- Reduce 100% of profit tax for the year of assessment 2021/2022 (Maximum: HKD 10,000)
- Reduce non-residential rate for 4 quarters of the year of assessment 2022/2023 (HKD 5,000 per quarter per flat for the first two quarters, HKD 2,000 per quarter per flat for the last quarters)
- Waive the business registration fee for the year of assessment 2022/2023
- Reduce 75% of non-residential water and sewage tariff (HKD 20,000 and HKD 12,500 per month per flat respectively, effective until Nov, 2022)
- Waive or reduce 34 government fee for 12 months from October (Include aviation, marine, logistic, retail, catering, agriculture and fishery, construction, tourism and entertainment etc)
- Reduce 75% of rent and relevant fee for government premise tenants (Effective until Sept, 2022)
- Waive the rent for premise tenants demanded to shut down
- Extend the application deadline of “SME Financing Guarantee Scheme” to June, 2023. Raise the maximum loan amount of “Special 100% Loan Guarantee” from 18 months to 27 months of total employee salary and rent. Maximum from HKD 6 million to 9 million and loan period from 8 years to 10 years.
- Extend “Pre-approved Principal Payment Holiday Scheme” 6 months to Oct, 2022.
- HKECIC plans to implement “Export Credit Guarantee Scheme” in Mar 2022 to provide 70% indemnity coverage (maximum: HKD 5 million)
- Forbid landlords to take action on dedicated industry tenants failed to pay the rent
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