PwC calls for accelerating the granting of resident status to family office leaders and raising the investment limit for residential properties

Wong Siu-Yin, Partner and Tax Director for Private Clients and Family Businesses at PwC Southern China, expressed affirmation of the government's ongoing efforts to optimize the family office ecosystem in Hong Kong, particularly by including precious metals and specific bulk commodities in the list of eligible investments for family office tax incentives.

The firm believes that to attract global talent and investors, in addition to timely reviewing and optimizing various talent programs, the government should expedite granting Hong Kong residency to family office leaders and their families, and raise the residential property cap that counts towards the investment threshold under the "New Capital Investor Entry Scheme" to HKD 15 million, aligning it with non-residential properties. It also suggests aligning the relevant plans with the list of eligible investments for family office tax incentives to enhance synergy.

Additionally, the firm welcomes the government's plan to submit a bill in the first half of this year to optimize existing tax incentives for the shipping services industry and provide half-tax incentives for eligible bulk commodity traders. To create a prosperous bulk commodity market, a robust physical warehousing system is crucial; therefore, the firm recommends that Hong Kong strengthen its warehousing infrastructure to consolidate and enhance its strategic position in the global supply chain