HK: An International Aircraft Leasing Hub
Hong Kong: An International Aircraft Leasing Hub in the Asia-Pacific Region
This regime reduces the profit tax from 16.5% to 8.25% in regard to aircraft leasing
Huge market opportunities under the "Belt and Road" initatives
Hong Kong Advantages
Between now and 2037, the number of airline passengers is expected to enjoy a compound annual growth rate of about 4.7 percent annually. This increase in traffic will require 42,000+ new aircrafts, at a value of about US$6.3 trillion. In 2021, 51 percent of total aircraft in used were leased.
In view of the rapid market changes over the past few years, and taking into account the international tax reform spearheaded by the Organisation for Economic Co-operation and Development (OECD) on base erosion and profit shifting (commonly known as BEPS 2.0), the Government plans to introduce a series of enhancement measures for the regime with a view to enhancing the competitiveness of Hong Kong. You are welcome to provide written submissions not later than December 19.
Detailed Concessionary Tax Regime
Applicable to Qualifying Aircraft Lessors and Qualifying Aircraft Leasing Managers
Setting up in Hong Kong
Hong Kong is one of the top global cities to set up a business. Getting started is relatively quick and easy, setup costs are low and the overall environment encourages businesses to thrive.