(Policy Address 2024) Hong Kong slashes tax to 10 pc for liquor priced over HK$200

John Lee said on Wednesday that Hong Kong will slash the liquor tax rate to 10 percent from the current 100 percent to foster liquor trading.

Starting today, the duty rate for liquor with an import price of over HK$200 will be reduced from 100 percent to 10 percent for the portion above HK$200, while the duty rate for the portion of HK$200 and below, as well as liquor with an import price of HK$200 or below will remain unchanged.

Lee said the move came after the government made reference to the successful experience of driving the wine trade through the exemption of wine duty, in a view to promote liquor trade and boost the development of high-value-added industries including logistics and storage, tourism as well as high-end food and beverage consumption.

At present, Hong Kong imposes a duty of 100 percent on the import price of liquor - those with an alcoholic strength of more than 30 percent.