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
BizMagnet government fund consultant helps Hong Kong companies to apply for TVP, BUD Fund and EMF etc. We also recommend quality suppliers to help you to brand, upgrade and sell.