Hong Kong Ordinances

STAMP DUTY ORDINANCE - SECT 27

Voluntary dispositions

(Past version on 30/06/1997).

(1) Any conveyance of immovable property operating as a voluntary disposition
inter vivos shall be chargeable with stamp duty as a conveyance on sale, with
the substitution of the value of the property conveyed for the amount or value
of the consideration for the sale.

(2) In the case of an instrument of transfer operating as a voluntary
disposition inter vivos of Hong Kong stock, or an instrument referred to in
section 28(1) which so operates by virtue of that section, any stamp duty paid
in respect of contract notes made under section 19(1) in respect of the amount
or value of any consideration given by the transferee for such Hong Kong stock
shall be set off against the stamp  duty chargeable on such
instrument of transfer.

(3) A conveyance or transfer operating as a voluntary disposition inter vivos
shall not be duly stamped unless the Collector has stamped the instrument of
conveyance or transfer under section 13(3)(b).

(4) Any conveyance or transfer (not being a disposition made in favour of a
purchaser or incumbrancer or other person in good faith and for valuable
consideration) shall for the purposes of this Ordinance be deemed to be a
conveyance or transfer operating as a voluntary disposition inter vivos, and
(except where marriage is the consideration) the consideration for any
conveyance or transfer shall not for this purpose be deemed to be valuable
consideration where the Collector is of opinion that by reason of the
inadequacy of the sum paid as consideration or other circumstances the
conveyance or transfer confers a substantial benefit on the person to whom the
property is conveyed or transferred.

(5) Nothing in this section shall apply to a conveyance or transfer made for
nominal consideration for the purpose of securing the repayment of an advance
or loan or made for effectuating the appointment of a new trustee, whether the
trust is expressed or implied, or under which no beneficial interest passes in
the property conveyed or transferred, or made to a beneficiary by a trustee or
other person in a fiduciary capacity under any trust, whether expressed or
implied, and this subsection shall have effect only if the circumstances
exempting the conveyance or transfer from charge under this section are set
forth in the conveyance or transfer. (Amended 33 of 1998 s. 7)

(6) In this section "conveyance" (轉易契) includes any agreement for a
lease or any release or renunciation of immovable property.

"conveyance" (轉易契)