Offshore Institution Tax Incentive
The offshore institution is exempted from all the following taxes: profit tax, industrial tax, and stamp duties. In addition, the offshore institution’s managers and specialised technicians (non-Macao residents), authorised to reside in Macao, are exempted from professional tax for the first three years of their employment at the offshore institution.
 
Tourism Industry Tax Incentive

Tourism incentives are related to the awarding of a “touristic utility” classification. The touristic utility of a project is assessed on its location, the level of facilities and services, management and promotion capacity, contribution to the training of staff as well as any other factors that may be considered as support to the development of tourism in Macao. Incentives are available to new projects and existing projects in respect of renovation work.

Projects that are classified as “touristic utility” shall benefit from tax exemptions and reductions as follows:

  1. Exempted from property tax during the first eight operating years in Macao City or ten years in the Islands;
  2. Exempted from industrial tax for a period equal to the property tax exemption;
  3. Eligible for depreciation allowances at rates being double the maximum approved rates for a period equal to the property tax exemption; and
  4. Reduction of stamp duty on property transfers and all facilities required for the project.
 
Manufacturing Tax Incentive

The following investments are entitled to a 50% reduction on profit tax rates, stamp duty on property transfers and are exempted from property tax and industrial tax:

  1. Investments which increase the export of non-quota restricted goods.
  2. Investments which install high technology and new industries.
  3. Investments which will be located in non-traditional industrial areas.
 

The Chief of Executive of the Macau SAR announced that most of the special tax benefits can be extended for 2017, which includes:

  • Complete exemption of industrial tax.
  • Fixed deduction of MOP 3,500 on urban property tax payable. Complete exemption if urban property tax is below MOP 3,500.
  • Fixed deduction of Profit tax increase to MOP 600,000.
  • 30% discount on the professional tax payable; fixed deduction increase to MOP 144,000.
  • Exemption of tourism tax for certain restaurants.
  • Exemption of signboard tax (Non-tax-tobacco advertisements).
  • Exemption of hawker license fee.
  • Exemption of market operator rental.
  • Exemption of life insurance or non-life insurance stamp duty.
  • Exemption of Stamp Duty for bank loan operation interests, commissions and other banking services charges.
  • Non-permanent Macau residents purchasing real estate achieve exemption from stamp duty on transfer of immovable property in the first MOP 3,000,000 (only in the residential units).