Procedures to Obtain Estate Duty Clearance
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To download the application form, please click here. The property to which (1) above applies shall be deemed to have passed on the death of the deceased to or for the benefit of his spouse if he died intestate as to that property and is survived by his spouse.
which is devised or bequeathed by the deceased, or otherwise passes on his death, to or for the benefit of his spouse. the matrimonial home of the deceased and his spouse and. a residence owned by him and occupied by him exclusively for residential purposes and. which was, immediately before the death of the deceased :. As regards deaths on or after 1 April 1994, exemption is allowed of actual burial expenses incurred in Hong Kong, up to a maximum of $50,000.Įstate Duty shall not be payable in respect of property :. Property held by the deceased as trustee only in which he never had any beneficial interest at any time during the 3 years immediately before his death and. Any property consisting of the benefits under a provident fund scheme registered under the Mandatory Provident Fund Schemes Ordinance. Any property consisting of the benefits under a policy of insurance effected on the life of the deceased. Any pension, annuity, lump sum, gratuity or other like benefit (including any right or entitlement thereto) which passes on the death of a deceased member of a recognized occupational retirement scheme. 
To download the application form, please click here Donations to or for the benefit in Hong Kong of any approved charitable institutions or to the Government of the Hong Kong Special Administrative Region for charitable purposes.Therefore the surviving joint owner must file an Account for the Commissioner (IRED 12) to account for the estate duty in respect of the joint properties before a clearance can be obtained.Įxemption from Estate Duty is allowed for the following:. Jointly owned properties are subject to estate duty notwithstanding that its ownership goes to the survivor upon the death of a joint owner. The recipients of the gifts are required to account for the duty. property which the deceased gave away at any time during the three years immediately before his death.
the deceased's share of property jointly owned with others and. Properties liable to estate duty includes:. where the beneficial ownership, possession or enjoyment of property is derived by one person in consequence of another's death. In broad terms, the word "passes" means "changes hands" i.e. To ensure that the family or dependents of persons who passed away on or after 11 February 2006 will not be affected by the changes in procedures arising from the abolition of estate duty, the Ordinance empowers the Secretary for Home Affairs to provide certain support services for estate beneficiaries.įor further information about the support services, please click here.Įstate Duty is charged, according to a sliding scale of rates which vary with the date of the deceased's death on the total value of the property situate in Hong Kong which "passes" or is deemed to pass in connection with a person's death, or at the amount of $100 (for transitional estates). The estate duty chargeable in respect of estates of persons dying on or after 15 July 2005 and before 11 February 2006 ("transitional estates") with the principal value exceeding $7.5 million will be reduced to a nominal amount of $100. No estate duty affidavits and accounts need to be filed and no estate duty clearance papers are needed for the application for a grant of representation in respect of deaths occurring on or after that date. The Revenue (Abolition of Estate Duty) Ordinance 2005 comes into effect on 11 February 2006. Revenue (Abolition of Estate Duty) Ordinance 2005 Provisional Estate Duty Clearance Papers. Procedures to Obtain Estate Duty Clearance. Revenue (Abolition of Estate Duty) Ordinance 2005.
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