E-PACKAGE: DIY RESIDENTIAL TENANCY AGREEMENT

E-package: DIY Residential Tenancy Agreement

E-package: DIY Residential Tenancy Agreement

Introduction

The E-package of DIY Residential Tenancy Agreement (E-package) aims to assist members of the public to independently enter into a tenancy agreement for their residential homes, without the costs and trouble of engaging a lawyer.

This E-package consists of a template residential tenancy agreement and a set of guidance notes on how to stamp, register and file Form CR109 for a residential tenancy agreement. The template tenancy agreement and guidance notes are available in both English and Chinese. The public can adapt and use the template tenancy agreement to suit their own situation in renting residential premises. The guidelines notes provide a comprehensive guide on the necessary steps that the public needs to take to satisfy the legislative requirements on stamping, registration and filing of Form CR 109 after the signing of a residential tenancy agreement.

Template tenancy agreement

I. Template tenancy agreement

Download Word document version or PDF version.

Guidance notes for the stamping, registration and submission of Form CR 109 for a residential tenancy agreement

II. Guidance notes for the stamping, registration and submission of Form CR 109 for a residential tenancy agreement

A. Introduction

A. Introduction

1. This set of guidance notes is complementary to the tenancy agreement in the E-package of DIY Residential Tenancy Agreement. It sets out the steps that the parties have to take after the signing of a residential tenancy agreement in order to satisfy the legislative requirements on the stamping, registration, and submission of Form CR 109 for a residential tenancy agreement.

B. Stamping Procedures

B. Stamping Procedures

  1. General
    1. Tenancy agreement, agreement for tenancy and any other document of similar effect (including their duplicate) (hereinafter called “tenancy agreement”) are chargeable with stamp duty.
    2. The landlord, tenant and any other persons signing the tenancy agreement are liable for the payment of stamp duty.
    3. A tenancy agreement has to be stamped within 30 days from the date of its signing. Late stamping will incur a penalty of up to a maximum of 10 times of the original amount of stamp duty.
    1. An unstamped tenancy agreement shall not be admitted as evidence in civil proceedings, which means a party cannot enforce an unstamped tenancy agreement even if the other party is in breach of the unstamped tenancy agreement.
    2. An unstamped agreement cannot be registered, filed or acted upon by any public officer.
    3. The Collector of Stamp Revenue may take civil action to claim any outstanding stamp duty from the landlord and the tenant who are responsible for stamping the tenancy agreement.
    1. Via the Internet
      1. The most convenient way is to submit a stamping application via the Internet at the GovHK. This is a 24-hour service and you do not need to present the original tenancy agreement to the Stamp Office.
      2. Before submitting a stamping application via the Internet, online authentication is required for users of e-Stamping service. Users of e-Stamping service can authenticate by one of the following means:
        1. E-Stamp Account;
        2. Taxpayer Identification Number and password; or
        3. Digital Certificate issued by Hongkong Post or the Digi-Sign Certification Services Ltd.
        1. Visit the e-Stamping Service.
        2. Click onto the “Login e-Stamping now”.
        3. Select “Tenancy Agreement” under the “Submit Stamping Application”.
        4. For business users, you may use E-Stamp Account or recognized digital certificate for authentication. For individual users, you may use eTax Account or recognized digital certificate for authentication.
        5. Read the instruction notes and input application details.
        6. Pay online by PPS, VISA or MasterCard. Alternatively, you may print the payment notice and pay the duty via existing tax payment channels.
        7. Finally, print the stamp certificate according to the instructions and attach it to the tenancy agreement.
        1. You may submit a stamping request in paper form [IRSD111(E)] by post to The Stamp Office at P.O. Box No. 28827, Gloucester Road Post Office, Wan Chai, Hong Kong. The form can be obtained at http://www.ird.gov.hk/eng/pdf/irsd111.pdf or from the Stamp Office. You do not need to attach the original tenancy agreement.
        2. If the tenancy agreement is one containing the usual terms, you can calculate the stamp duty payable and attach the payment cheque to the application form. The cheque should be made payable to “The Government of the Hong Kong Special Administrative Region” or “The Government of the HKSAR” and crossed. No cash or post-dated cheques will be accepted.
        3. The Stamp Office will send you a stamp certificate by post within 5 working days after receipt of your payment. A stamp certificate has the same legal status as a conventional stamp.
        Address: 3/F, Revenue Tower, 5 Gloucester Road, Wan Chai, Hong Kong
        (Please visit http://www.ird.gov.hk/eng/cu_ol.htm for directions)
        Monday to Friday 8:45 a.m. to 5:00 p.m. (no lunch break)
        Saturday, Sunday and Public Holidays Closed
        Term Stamp Duty Rate 1
        a. Not defined or is uncertain 0.25% of the yearly or average yearly rent 2
        b. Does not exceed 1 year 0.25% of the total rent payable over the term of the tenancy agreement 2
        c. Exceeds 1 year but not exceeding 3 years 0.5% of the yearly or average yearly rent 2
        d. Exceeds 3 years 1% of the yearly or average yearly rent 2
        e. Key money, construction fee, etc. mentioned in the tenancy agreement 4.25% of the consideration if rent is also payable under the tenancy agreement. Otherwise, same duty as for a sale of immovable property
        f. Duplicate or counterpart $5 each
        1 Where the stamp duty calculated includes a fraction of $1, round-up the duty to the nearest $1.
        2 The yearly rent, average yearly rent and total rent has to be rounded-up to the nearest $100. Rental deposit mentioned in the tenancy agreement will not be taken into account when computing stamp duty.

          Both the commencement date and the cessation date will be counted.

        E.g. if the tenancy agreement commences on 1 January 2017 and terminates on 31 December 2017. It is a term of 1 year, and falls under the category of “does not exceed 1 year”.

        Stamping Delay Penalty
        Not exceeding 1 month 2 times the amount of stamp duty
        Exceeding 1 month but not exceeding 2 months 4 times the amount of stamp duty
        Any other case 10 times the amount of stamp duty

        C. Registration Procedures

        C. Registration Procedures

        1. General
          1. Tenancy agreement, lease and agreement for tenancy should be registered at the Land Registry.
          2. If a tenancy agreement is granted at market rent and has a term of 3 years or less, the priority of such tenancy agreement would not be affected even if the tenancy agreement is not registered at the Land Registry.
          3. If a tenancy agreement contains an option to renew, even if the term of the tenancy agreement is 3 years or less, such tenancy agreement has to be registered to secure its priority.
          1. Registration of a tenancy agreement gives the tenancy agreement priority over unregistered documents and other documents registered after the tenancy agreement.
          2. Registration of the tenancy agreement would put on notice or alert any person about the tenancy agreement when that person is dealing with the property of the tenancy agreement, so that priority will not be lost.
          3. Unregistered tenancy agreement would lose its priority to any subsequent purchaser or mortgagee acting in good faith and who has paid valuable consideration for his interest.
          4. If there is doubt as to whether a tenancy agreement should be registered at the Land Registry to protect its priority, the parties should seek legal advice to ascertain the necessity of registration.
          1. If a tenancy agreement is registered within one month after the date of the signing of tenancy agreement, its priority would be deemed to be the date of the signing of the tenancy agreement.
          2. If a tenancy agreement is registered beyond one month after the date of its signing, its priority would be the date of the registration of the tenancy agreement.
          1. The registration fee for any tenancy agreement or agreement for tenancy agreement is $210.
          2. The fees can be paid by cash/ EPS/ credit card.
          3. All the fees payable would not be refunded in all circumstances.

          Visit the Integrated Registration Information System (IRIS) at https://www1.iris.gov.hk/eservices/ and select “Search Land Register”.

          Fill in any of the four sections: (I) Street Name Section; (II) Development Name Section; (III) Lot Details Section and (IV) Property Reference Number (PRN) Section.

          1. Tenancy Agreement (duly stamped)
          2. Duly completed and verified memorial
          3. Duly completed “Application for Lodgement of Deeds for Registration”
          4. Duly completed “Application for the Administration of the Oath/ Affirmation by a Commissioner of Oaths at the Land Registry for Verification of a Memorial”
          5. Registration fee of HK$210 for the tenancy agreement
          6. Administrative fee of HK$170 for making oath/ affirmation
          7. Duly completed Lodgement List
          • Deeds lodgement: 9 am – 1:30 pm
          • Search of land records: 9 am – 12:30 pm; 2 pm – 5 pm*
            Tai Po Search Office
          Address: Tai Po Complex, 4/F., 8 Heung Sze Wui Street, Tai Po.
          Monday to Friday 9 am – 12:30 pm; 2 pm – 5 pm*
          Saturday, Sunday and Public Holidays Closed
          Address: Tsuen Wan Multi-storey Carpark Building, 11/F., 174-208 Castle Peak Road, Tsuen Wan.
          Monday to Friday 9 am – 12:30 pm; 2 pm – 5 pm*
          Saturday, Sunday and Public Holidays Closed
          Address: Yuen Long Government Offices and Tai Kiu Market, 7/F., 2 Kiu Lok Square, Yuen Long.
          Monday to Friday 9 am – 12:30 pm; 2 pm – 5 pm*
          Saturday, Sunday and Public Holidays Closed

          D. Submission of Form CR109

          D. Submission of Form CR109

          1. Submission of CR109 Form by the Landlord
            1. The landlord or the landlord’s representative/agent has to submit a Form CR109 (Notice of New Letting or Renewal Agreement) after entering into a new residential tenancy agreement (including both fresh letting and renewal) to the Commissioner of the Rating and Valuation Department (RVD) for endorsement within 1 month from the date on which the parties have entered into a new tenancy or renewal agreement.
            2. It is not necessary to submit a Form CR109 for a written residential tenancy agreement for a fixed term of 5 years or longer which contains no provision for earlier termination by the landlord and payment of premium or increase in rent during the fixed term.
            1. A landlord shall not be entitled to maintain an action to recover the rent under the tenancy agreement unless the Commissioner of the Rating and Valuation Department has endorsed a Form CR109 for the tenancy agreement.
            1. downloaded from RVD website at
              http://www.rvd.gov.hk/doc/en/forms/cr109.pdf
            2. from RVD office at
              15/F, Cheung Sha Wan Government Offices 303 Cheung Sha Wan Road Kowloon
            3. from Inland Revenue Department’s Stamp Office at:
              3/F, Revenue Tower, 5 Gloucester Road, Wan Chai
            4. from District Offices
              Address information: http://www.had.gov.hk/en/contact_us/comment_c.htm

            1. In person or by post to RVD
              Address:15/F, Cheung Sha Wan Government Offices at 303 Cheung Sha Wan Road, Kowloon Opening hours:Monday to Friday from 8:15 am to 6:00 pm
              #Note: The above addresses and opening hours are for reference only. Please verify the addresses and opening hours with the relevant department and website.
            2. Via Internet
              The e-CR109 at http://eforms.rvd.gov.hk/eform/apps/RVD-eform.jsp

            1. Submission of Form CR109 within 1 month of the date of tenancy agreement: free of charge.
            2. Submission of CR109 after 1 month of the date of the tenancy agreement: late submission charge $310.
            1. In person
              by cash or cheque crossed and made payable to “The Government of the HKSAR”
            2. By post
              through a cheque crossed and made payable to “The Government of the HKSAR”
            3. E-form payment:
              by PPS or credit card, or by a crossed cheque within 14 days after e-form submission.
            1. RVD will endorse the CR109 within 1 month and send the endorsed form to the landlord and the tenant separately.
            1. For general enquiries, you may telephone the 24-hour customer service hotline of RVD at 2152 0111. For Rent Officer service or enquiries on the progress of an application, you may telephone to RVD at 2150 8229.
            1. All information contains in this Guidance Notes may be subject to change or update without notice. Users of the E-package are advised to check and verify whether the information are up to date before using this Guidance Notes.

            Acknowledgment

            III. Acknowledgment

            Application forms

            1. The E-package of the DIY Residential Tenancy Agreement is made available to the public free of charge. The E-package is not intended to be used, reproduced or re-disseminated for any commercial purpose. The E-package has referred to, reproduced and extracted information, explanatory notes and forms from the following Government websites and it is acknowledged that the Government of the HKSAR is the copyright owner of all such information, explanatory notes and forms referred to, reproduced and extracted from the following Government websites: Explanatory notesOthers
              1. Application Form for Stamping provided by the Inland Revenue Department, Stamp Office
                https://www.ird.gov.hk/eng/pdf/irsd111.pdf
              2. Application Form for Remission of Penalty for Late Stamping provided by the Inland Revenue Department, Stamp Office
              3. https://www.ird.gov.hk/eng/pdf/irsd127.pdf
              4. Application forms provided by the Rating and Valuation Department
                http://www.rvd.gov.hk/doc/en/forms/cr109.pdf
              5. Electronic Submission of Forms (Rates, Government Rent and Tenancy Matters) to Rating and Valuation Department
                http://eforms.rvd.gov.hk/eform/apps/RVD-eform.jsp
              6. Integrated Registration Information System Online Services provided by the Land Registry
                http://www1.iris.gov.hk/eservices
              7. Explanatory notes on Stamping of Property Document provided by GovHK
                https://www.gov.hk/en/residents/taxes/etax/services/stamping_of_property_document.htm
              8. Stamping Procedures and Explanatory Notes issued by the Inland Revenue Department, Stamp Office
                https://www.ird.gov.hk/eng/pdf/irsd119.pdf
              9. Memorandum of Lodgement of Documents for Registration with the Land Registry provided by the Land Registry
              10. Explanatory notes provided in the Rating and Valuation Department website
                http://www.rvd.gov.hk/en/tenancy_matters/toolkit_lease.html
              11. Contact information of the Inland Revenue Department, Stamp Office
                http://www.ird.gov.hk/eng/cu_ol.htm
              12. Contact information of the Home Affairs Enquiry Centres
                https://www.had.gov.hk/en/contact_us/comment_c.htm
              13. Government 1823 FAQ website
                http://www.1823.gov.hk/eng/FAQ/017010/index.shtm
              14. Landlord & Tenant section in Community Legal Information Centre (CLIC) website
                https://www.clic.org.hk/en/topics/landlord_tenant
              15. The Land Registry website
                http://www.landreg.gov.hk/en/home/index.htm

              Academic staff of Faculty of Law, University of Hong Kong:
              Edmund SK Cham - Adjunct Associate Professor, Department of Professional Legal Education
              Dora SY Chan - Principal Lecturer

              Disclaimer

              IV. Disclaimer

              The documents and information contained in the E-package of DIY Residential Tenancy Agreement ("E-package") are provided for general information purpose only and should not be construed as legal advice or opinion on any specific facts or circumstances and should not be relied upon in that regard. Any use of the E-package is at the sole responsibility of the users. Neither CLIC, nor its host University, nor the CLIC data providers accepts responsibility for any loss which may arise from any use of the E-package. In case of doubt, users of the E-package are urged to seek their own independent legal advice concerning their situation and any specific legal question that they may have.

              The documents and information in the E-package are liable to change. Neither CLIC, nor its host University, nor the CLIC data providers gives any guarantees, undertakings or warranties regarding the accuracy, completeness or up-to-date nature of the E-package.

              The contents of other websites and hypertext links that are referred to in the E-package are not maintained or controlled by CLIC, its host University or the CLIC data provider. Neither CLIC, nor its host University, nor the CLIC data provider accepts responsibility or gives any guarantees, undertakings or warranties regarding the availability, content or accuracy of other websites and hyperlinks that are referred to in the E-package.

              Neither CLIC, nor its host University, nor the CLIC data providers nor any person involved in creating, producing or distributing the E-package shall be liable to any user of the E-package for any direct or indirect losses arising from the use of the E-package.