Profits tax calculator Hong Kong

Profits tax is charged on the profits a business makes in Hong Kong. Companies and unincorporated businesses have different rates.

Under the two-tiered system, the first part of the profits pays a lower rate. Enter your assessable profits to see the tax.

How it's calculated

Corporations pay 8.25% on assessable profits up to HK$2,000,000 and 16.5% on the rest.
Unincorporated businesses pay 7.5% up to HK$2,000,000 and 15% on the rest.
If a one-off reduction applies to the year, it comes off the tax, up to the cap.

A company with $3 million of assessable profits pays $165,000 on the first $2 million and $165,000 on the next $1 million: $330,000 in total.

What is the profits tax rate for a company in Hong Kong?

8.25% on the first HK$2,000,000 of assessable profits and 16.5% on the rest.

And for a sole proprietor or partnership?

7.5% on the first HK$2,000,000 and 15% on the rest.

Is there a profits tax reduction for 2025/26?

Yes. The 2025/26 profits tax is reduced by 100%, up to HK$3,000 for each business.

Assessable profits: The profits that profits tax is charged on, after allowable expenses.
Two-tiered rates: A lower rate on the first part of the profits and the normal rate on the rest.

Up-to-date official data

Data checked against the official source on 16 October 2026.

We check the official sources automatically, every day.