Hong Kong’s tax revenues have increased by about 10 per cent in the past financial year, driven in part by the influx of talent among taxpayers and a boost in property transactions, according to authorities.

Commissioner of Inland Revenue Chan Sze-wai on Friday also highlighted a trend in growing tax revenues and predicted a 7 per cent rise in overall collections in the 2025-26 financial year.

The city recorded HK$374.5 billion (US$48.3 billion) in tax revenue for 2024-25, an increase of HK$32.5 billion from HK$342 billion in 2023-24, according to provisional figures released by the Inland Revenue Department.

Income from salaries tax, representing 24 per cent of the total revenue, increased by 11 per cent from HK$79.9 billion in 2023-2024 to HK$88.9 billion in the last financial year, based on provisional figures.

“The increase in the number of taxpayers and also their income levels are reasons for the increase in tax revenue,” Chan said.

He explained that the increase in the number of taxpayers was partly due to the talent schemes launched by the government.