Parties split over amendments for Hong Kong property tax bill
Business lawmakers stick to guns on 'loopholes' but DAB says easing law would bring problems
Political parties were divided yesterday over the amendments tabled by pro-business lawmakers on the government's property-cooling measures.
Andrew Leung Kwan-yuen, chairman of the Business and Professionals Alliance, and fellow alliance lawmaker Abraham Razack hope their amendments will plug the "loopholes" in the Stamp Duty (Amendment) Bill 2012, with the Democratic Party also indicating support.
Under the bill, foreign and corporate buyers of property must pay an extra 15 per cent tax on top of the existing stamp duty, while a special stamp duty is levied on the resale of properties within three years of purchase, up from the original two years.
The bill is still being examined by a Legislative Council bills committee, which will discuss it again on Thursday next week.
The proposed measures, if enacted, will be retrospective to October 27. Since they were announced last October, the curbs have had a notable impact on transaction volumes and have drawn complaint from real estate agents, although prices have remained high.
Andrew Leung, representing the industrial sector, yesterday moved two amendments to introduce sunset clauses for the bill, saying the extra buyer's tax and special stamp duty should expire in October 2015.