According to the Law no. $leiNo$ – the Government Budget of Financial Year 2020, tax relief measures under the administration of the Financial Services Bureau as stated as follow:
Business Registration Tax
Exemption of business registration tax.
Land Rental
Exemption of land rental under MOP$100.00.
Property Tax
Standard deduction of MOP$3,500.00 on property tax. If the taxpayer is two or more natural persons (individuals), its property tax can be similarly deducted the aforementioned amount if and only if one of them is permanent resident of Macao SAR. If the taxpayer is a legal person, individual commercial entrepreneur or non-resident of Macao SAR, it is not eligible for such deduction.
The urban property tax rate for leased premises will be reduced to 8%.
Profits Tax
Exemption allowance for profits tax assessment in 2019 is MOP$600,000.00.

Companies, which are registered as Group A taxpayer in FSB, will be able to deduct from their taxable income, the triple of the amount spent in innovation, science and technology research and development activities, being the amount spent subject to a cap of MOP$3.000.000,00. Any additional R & D expenditure will be able to be deducted the double of the amount spent. The total deduction limit is subject to a cap of MOP$15.000.000,00.

In 2020, the income obtained or generated in Portuguese-speaking countries shall be exempt from Profits Tax, when the relevant profits tax have been paid in that countries.

Salaries Tax
30% exemption on salaries tax and the exemption allowance for its assessment in 2020 is MOP$144,000.00. In case of the following situation: employer should withhold tax from causal worker whose daily salary is over MOP$640.00 or employees whose monthly salary is over MOP$16,000.00. Please refer to the Simulation Calculation. In addition, exemption allowance for part-time and employee who are aged 65 or above or with permanent disability level of or above 60%, is adjusted to MOP$198,000.00.
60% of the Salaries Tax paid for the assessment year 2018 will be refunded to Salaries Taxpayers who hold a Macao Resident Identity Card on 31 December 2018, up to a ceiling of MOP$14,000.00.
Stamp Duty
Exemption of stamp duty on insurance contracts and banking service charges.
Exemption of stamp duty on auctions of products, goods and property, or movable or immovable property.
Exemption of stamp duty on all admissions of performance, exhibition or any kind of entertainment.
The issuance and acquisition of public debts will be exempt from the applicable stamp duty.
Exemption of stamp duty on putting up or placement of advertisements, signboards and publicity materials that were already exempted from the license fee.
Stamp Duty (Conveyance of Property)
Exemption of stamp duty on the first MOP$3,000,000.00 of fixed asset value which is only applicable for Macao permanent residents, an application form “Confirmation of exemption from stamp duty” should be submitted and confirmed, this is not applicable to the taxpayers who have received such an exemption in previous years or current budget year. When the immovable property is acquired by two or more taxpayers, of which only the eligible taxpayer is entitled to receive the tax exemption proportionally; moreover, as pursuant to the provision of the same article, if the acquirer of the immovable property is a couple, and either of the two is not the proprietor of the immovable property as indicated, the acquirer is entitled to receive the relevant tax exemption.
Tourism Tax
Exemption of tourism tax on the services provided by luxury, class 1 and class 2 restaurants in group one classification indicated in article 6, and also on proprietary business activities provided by similar business in group one classification of group 1, 2 and 3 hotels indicated in article 5 of the Decree-Law no. 16/96/M.
Last Updated:17/01/2020
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