Hong Kong's Treasury Secretary Christopher Hui recently announced plans to launch new tax incentives to stimulate the development of virtual assets and other investments in Hong Kong, aiming to strengthen its position as a business hub in the Asia-Pacific region.
During his 18 October 2024 speech at Hong Kong Fintech Week, Hui emphasized Hong Kong's strengths in advancing the artificial intelligence (AI) sector, citing its robust financial infrastructure, strong policy framework, and advantageous geographical location. He noted that while AI offers great potential, it also faces challenges, making it essential to establish regulatory regimes that not only guide but encourage its growth.
Hui said the Hong Kong government plans to include new tax concessions, like for virtual assets, in its law by the end of 2024. He also highlighted that tax incentives would expand to support the growth of the private credit market in Hong Kong.
"By expanding the availability of tax concessions to this wider scope of assets eligible under our fund regime and our family office regime, we will be able to add that extra impetus and pull to this [Hong Kong] market on their development front", Hui said.
Source: IBFD Tax Research Platform News