Privately owned land in Hong Kong is normally held from the Government by way of a 'land grant' known as a Government lease (formerly called a Crown lease) under which a rent is payable. Government rent (formerly Crown rent) is paid by the Government lessee (the 'owner') to the Government in return for the right to hold and occupy the land for the term (i.e. duration) specified in the lease document.

All land leases in the New Territories and New Kowloon north of Boundary Street expired on 27 June 1997. However, Annex III to the Sino-British Joint Declaration provided that non-renewable land leases which expired before 30 June 1997 were automatically extended up to 30 June 2047 without payment of an additional premium but with a new Government rent becoming payable from the date of extension. In addition, all land leases whether on Hong Kong Island, Kowloon, or the New Territories which have been granted since 27 May 1985, the date from which the Joint Declaration took effect, are also liable for the new Government rent from 1 July 1997.

The assessment and collection of the new Government rent is governed by the Government Rent (Assessment and Collection) Ordinance (Cap. 515). The Government rent charged under the Ordinance is calculated at 3% of the rateable value of the property and is adjusted in step with any subsequent changes in the rateable value.

The basis of assessment of the rateable value for Government rent purposes is the same as that for rates. (Please refer to the Rates Section under Public Services for details).

In general, the following types of properties are liable for Government rent:

An indigenous villager or his lawful successor in the male line (or tso, or tong) who (or which) has continuously owned an old schedule lot, village lot, small house or other rural holding since 30 June 1984, or small house or resite house granted after that date is entitled to exemption from liability to pay the new Government rent. Application for exemption from payment of the new Government rent should be made to the Director of Lands. Details can be obtained from the relevant District Lands Offices.

In cases where application for rent concession (i.e. exemption from liability to pay the new Government rent) has been made, the applicant should complete a declaration form (pdf) and return it to the Rating and Valuation Department so that arrangements can be made to suspend the issue of Government rent demands, pending outcome of the rent concession application.

The owner is liable for Government rent. The Government may however demand Government rent from the owner or the ratepayer of the property. If the person who pays Government rent is not the owner, he may claim reimbursement of the Government rent paid from the owner or offset the amount paid from any money due to the owner, unless there is an express agreement to the contrary.

(Please refer to Billing and Payment Section under Public Services)

(Please refer to Billing and Payment Section under Public Services)

(Please refer to Rates Section under Public Services)

The forms mentioned above, Notices of Objection and Proposal, are available free of charge from the Department, District Offices, or the Public Forms Section of this homepage or from our 24-hour Automated Telephone Enquiry Service by telephoning 2152 2152.

(Please refer to the Frequently Asked Questions Section)