Hong Kong Property Tax 15% 2026 Calculator
Hong Kong property tax is charged at the standard rate of 15% on the net assessable value of a let property. Net assessable value = rental income, less irrecoverable rent, less rates paid by the owner, less a statutory allowance of 20% for repairs and outgoings. The Government's own worked examples use 15% for 2025/26 and for provisional tax 2026/27.
How Property Tax Is Computed
Start with the rental income for the year of assessment (1 April to 31 March). Deduct irrecoverable rent to get the assessable value. Deduct rates paid by the owner. Deduct the statutory allowance for repairs and outgoings, which is 20% of that balance. The result is the net assessable value, taxed at the standard rate of 15%.
Worked Example
Rent of HK$10,000 a month with the tenant paying the rates: assessable value HK$120,000, less 20% allowance HK$24,000, net assessable value HK$96,000, property tax HK$14,400. When the tenant pays the rates, the tax works out at 12% of the rent.
What Is Not Deductible
The 20% allowance is fixed — actual repair costs are not deducted separately. If you elect personal assessment, the tax may be lower; this calculator does not work that out. Provisional property tax for the next year is billed together with the final tax.
Source and Disclaimer
Formula and 15% rate as published by the Hong Kong Government for 2025/26 (final) and 2026/27 (provisional). Estimates only — not tax advice.
Source: GovHK — How Property Tax is Computed (Inland Revenue Department). Last updated: October 2026.