### Stamp Duty Ordinance 《印花稅條例》

7. Licensing and use of franking machines
(1) The Collector may issue a licence to any person in the form in Part 1 of the Second Schedule authorizing such person to use a franking machine for the purpose of stamping any instrument under section 5(4).
(2) No person shall use a franking machine for the purpose of stamping any instrument under section 5(4)—
(a) without a licence; or
(b) otherwise than in accordance with the conditions set out in Part 1 of the Second Schedule or such additional or other conditions as the Collector may impose in respect of such licence; or
(c) unless at the time it stamps such instrument the machine stamps the date of stamping thereon.
(3) The general provisions in Part 2 of the Second Schedule shall have effect in relation to every licence and licensed franking machine.
(4) No person other than the Collector or an authorized officer shall break or in any way interfere with any seal affixed to a licensed franking machine for the purposes of this section by the Collector or an authorized officer.
(5) The Collector may cancel a licence at any time if there are reasonable grounds for believing that—
(a) any person has used the licensed franking machine in contravention of subsection (2)(b) or (c) or has broken or interfered with any seal affixed thereto in contravention of subsection (4); or
(b) the licensed franking machine is capable of making an imperfect stamp; or 
(c) the licensed franking machine has not been used for a period of not less than 6 months.
(6) Any person who contravenes subsection (2) or (4) commits an offence.
(7) Whenever in any prosecution for an offence against subsection (2) it is proved that the accused had in his possession a franking machine, it shall be presumed unless the contrary is proved that such machine was used for the purpose of stamping an instrument under section 5(4).
(8) Any franking machine in respect of which an offence is committed against subsection (2) shall, upon application by the Collector to a magistrate, be forfeited whether or not any person is convicted in respect of such offence.
(9) In this section—
authorized officer (獲授權人員) means a public officer authorized in writing by the Collector for the purposes of this section; 
licence (牌照) means a licence issued by the Collector under subsection (1), and licensed (已有牌照) shall be construed accordingly.

### Stamp Duty Ordinance 《印花稅條例》

8. Duplicates and counterparts
The duplicate or counterpart of an instrument chargeable with stamp duty shall not be duly stamped unless— (Amended 21 of 2003 s. 4)
(a) it is stamped as an original instrument;
(b) there is denoted on it payment of the stamp duty paid in respect of the original instrument of which it is the duplicate or counterpart; or
(c) there is denoted on a stamp certificate issued for the duplicate or counterpart payment of the stamp duty paid in respect of the original instrument of which it is the duplicate or counterpart.
(Amended 21 of 2003 s. 4)

9. Late stamping
(1) Except in the case of an instrument to which section 5(5) or 13(7)(a) applies, any instrument chargeable with stamp duty which is not stamped before or within the time for stamping such instrument shall not be stamped except by the Collector upon payment of the stamp duty and a penalty of whichever of the following amounts applies— (Amended 77 of 1981 s. 4)
(a) if the instrument is so stamped not later than 1 month after the time for stamping, the penalty shall be double the amount of the stamp duty;
(b) if the instrument is so stamped later than 1 month but not later than 2 months after the time for stamping, the penalty shall be 4 times the amount of the stamp duty;
(c) in any other case, the penalty shall be 10 times the amount of the stamp duty.
(2) The Collector may remit the whole or any part of any penalty payable under subsection (1).
(3) The payment or remission of a penalty payable under this section in respect of any instrument may be denoted thereon by the Collector in such manner as he thinks fit.

10. How instruments to be written, charged and stamped
(1) Every instrument chargeable with stamp duty shall be so written that the stamp may appear on the face of the instrument and cannot be used for or applied to any other instrument.
(2) Every instrument chargeable with stamp duty containing or relating to several distinct matters shall be separately and distinctly charged, as if it were a separate instrument, with stamp duty in respect of each of the matters.
(3) Every instrument chargeable with stamp duty shall be separately and distinctly stamped with the stamp duty chargeable thereon.
(4) Subject to section 16(1), an instrument made for any consideration by reference to which it is chargeable with stamp duty, and also for any further or other valuable consideration or considerations, shall be separately and distinctly charged, as if it were a separate instrument, with stamp duty in respect of each of the considerations.

### Stamp Duty Ordinance 《印花稅條例》

11. Facts and circumstances affecting stamp duty to be set forth
(1) All the facts and circumstances affecting the liability of any instrument to stamp duty, or the amount of the stamp duty chargeable on an instrument, are to be fully and truly set forth in the instrument.
(2) Any person who with intent to defraud the Government—
(a) executes any instrument in which all the said facts and circumstances are not fully and truly set forth; or
(b) being employed or concerned in or about the preparation of any instrument, neglects or omits fully and truly to set forth therein all the said facts and circumstances,
commits an offence.
(3) The Collector may, before the commencement of criminal proceedings, compound any offence against subsection (2).
(4) Where any of the facts and circumstances affecting the liability of any instrument to stamp duty, or the amount of the stamp duty chargeable on an instrument, are not fully and truly set forth in the instrument in accordance with subsection (1), the Collector may—
(a) refuse to stamp the instrument; or
(b) stamp the instrument subject to such conditions as he may think fit. (Added 33 of 1998 s. 2)

12. Power to call for abstract and evidence
Whenever any instrument is presented to the Collector for stamping, the Collector may require to be furnished with an abstract of the instrument and also with such evidence as he may deem necessary in order to show to his satisfaction whether all the facts and circumstances affecting the liability of the instrument to stamp duty, or the amount of the stamp duty chargeable thereon, are fully and truly set forth therein.

### Stamp Duty Ordinance 《印花稅條例》

16. Provisions relating to certain leases etc.
(1) A lease or agreement for a lease shall not be charged with stamp duty in respect of any penal rent, or increased rent in the nature of a penal rent, thereby reserved or agreed to be reserved or made payable, or by reason of being made in consideration of the surrender or abandonment of any existing lease of or agreement relating to the same subject matter.
(2) An agreement for a lease shall be chargeable with stamp duty as a lease made for the term and consideration mentioned in the agreement.

17. Instrument increasing rent to be chargeable as a lease
An instrument whereby the rent reserved by any other instrument chargeable with stamp duty and duly stamped as a lease is increased shall be chargeable with stamp duty as if it were a lease but in respect only of the additional rent thereby made payable, but this section shall not apply to an instrument made solely for the purpose of giving notice of any such increase in compliance with any Ordinance.

18. Calculation of stamp duty as regards foreign currency
(1) Where stamp duty falls to be calculated in respect of any instrument by reference to a sum of money expressed in a currency other than Hong Kong dollars, there shall, for the purpose of such calculation, be substituted for that sum of money its equivalent expressed in Hong Kong dollars at the rate of exchange prevailing on the date of the instrument.
(2) For the purposes of this section rate of exchange (匯率), in relation to any instrument referred to in subsection (1), means the buying rate for the currency in question, as determined by the Monetary Authority, for telegraphic transfers at the commencement of business on the date of the instrument or, if that date is a Sunday or a general holiday, on the business day immediately preceding that date. (Amended 82 of 1992 s. 10)