Gold Price for Jewellers in Hong Kong

Making charges and pricing

Hong Kong goldsmiths sell 足金 (chuk kam) jewellery mostly by weight. Each shop posts its own selling price per tael and per gram and adds a labour charge (工錢) per piece or per gram. Fashion pieces, 18K and gem-set jewellery are usually sold at a fixed price per item. Under the gold marking order, the retail invoice must show the mark and fineness of each part and, for articles of 999 or higher, the weight.

Shops post a separate buying-back (回收) price per tael for 足金, below their selling price, and terms for pieces bought elsewhere vary. K-gold and scrap are bought on their tested fine gold content, at a percentage of the metal value.

Hallmarking and purity marks

Hong Kong has no compulsory hallmarking and no government assay office, but marking is compulsory at retail. Under the Trade Descriptions (Marking) (Gold and Gold Alloy) Order, made under the Trade Descriptions Ordinance (Cap. 362), gold articles sold at retail must be marked with their fineness. The mark can be in carats (such as 18K), in parts per thousand (such as 750) or the characters 足金. Since amendments made in 2008 (L.N. 82 of 2008), 足金 means at least 999 parts per thousand. The legal standards include 9K (375), 14K (585), 18K (750) and 22K (916.6).

Articles under 1 g that are too small or thin to mark are exempt. Retailers must display the prescribed notice explaining the marks. Mainland China's national standard uses 足金 for 990 and above, so check the marks on pieces made there. The order is enforced by the Customs and Excise Department.

Tax on sales and scrap

Hong Kong has no VAT, GST or sales tax, and gold and jewellery pay no import or export duty. The same tax position therefore applies to jewellery, bars and scrap, whether you sell to the public or to another dealer. No tax is due when you buy old gold from the public. Dealers' business profits are subject to profits tax in the normal way.

Customer checks and reporting

Since 1 April 2023, anyone carrying on a business of dealing in precious metals, precious stones or precious products in Hong Kong must register with the Customs and Excise Department under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (Cap. 615). Precious products are jewellery or watches containing precious metals or stones. Registration is needed before entering into transactions with a total value of HK$120,000 or more. Category A is for dealers whose large transactions are non-cash only. Category B is for dealers who also make or receive cash payments of HK$120,000 or more; only Category B registrants are subject to AML/CFT supervision and a fit-and-proper test. Dealers below the threshold need not register. Dealing unregistered at or above the threshold can lead to a fine of up to HK$100,000 and six months' imprisonment.

A Category B dealer must carry out customer due diligence on cash transactions of HK$120,000 or more, including verifying identity from an ID card or passport and keeping a copy. Records must be kept for at least five years. Suspicious transactions must be reported to the Joint Financial Intelligence Unit whatever the amount. Registration certificates must be displayed at each place of business, and online sellers must show their registration details on the website.