Legal Documents

Need to draft an Instrument of Transfer ?

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What is an Instrument of Transfer?

An Instrument of Transfer is a document necessary for transferring the legal title of the shares.

It is important to check stamping requirements and procedures under the relevant jurisdiction relating to an Instrument of Transfer.

Stamping procedures may require an Instrument of Transfer to be executed offline (i.e. e-signature is not accepted).

An Instrument of Transfer effects the transfer of legal title to shares in a Hong Kong company, whereas Contract Notes (a bought note and a sold note) transfer the beneficial title to the shares.
Check the website of the Hong Kong Government for the applicable rate of stamp duty that applies to an Instrument of Transfer. Don’t miss the deadline for stamping your Instrument of Transfer, refer to the explanatory note published by the Inland Revenue Department of Hong Kong for details.
We recommend that you execute an Instrument of Transfer offline (i.e. not by e-signing). 

Key points included

  • Identity (name and address) of the transferor, transferee, and subject company, the shares of which are being transferred;
  • Details of the shares being transferred; and
  • Purchase price for the transfer.

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