Customs and Excise Department (Hong Kong) - Protection of Revenue

Protection of Revenue

There is no tariff on goods entering Hong Kong, but excise duties are charged on four groups of commodities. These commodities are hydrocarbon oil, liquor, methyl alcohol and tobacco. These duties make no differentiation between imported commodities, or commodities manufactured locally for domestic consumption.

In 2003, the C&ED collected $6,484 million excise duty. Under the Dutiable Commodities Ordinance, the C&ED controls breweries, distilleries, tobacco factories, oil installations, ship and aircraft duty-free stores, and industrial and commercial establishments dealing with dutiable commodities; and supervises licensed, general bonded and public bonded warehouses.

Licences are issued to those who import, export, manufacture or store dutiable commodities. The C&ED also assesses the First Registration Tax of vehicles under the Motor Vehicle (First Registration Tax) Ordinance. The Anti-illicit Cigarette Investigation Division is specially tasked to detect syndicated smuggling, distribution and peddling of dutiable cigarettes. The Diesel Oil Enforcement Division focuses its efforts on detecting the smuggling and misuse of illicit fuels.