Why Hong Kong, China Bans Short Lets Under 28 Days — a Licence or a Crime

In Hong Kong, China, an unlicensed stay under 28 days is a criminal offence, not a fine.

Last updated: September 16, 2026

You own a flat in Hong Kong, China and you list it on Airbnb for weekend visitors from the mainland, Singapore, or overseas. The bookings come in, the calendar fills, and nothing seems wrong — until you learn that a single short let under 28 days, without the right licence, is not a grey area you can talk your way out of. It is a criminal matter.

Most hosts outside Hong Kong, China picture a fine and move on. The law there does not work that way. Under the Hotel and Guesthouse Accommodation Ordinance, letting a premises for a continuous period of less than 28 days for payment requires a valid hotel or guesthouse licence — and running without one is a crime carrying a prison sentence, not just a penalty notice. This article draws the line the ordinance actually draws, shows which lettings fall on which side, and gives you the questions to carry to a licensed Hong Kong, China solicitor. None of it is legal advice.

Key Takeaways

• A licence is mandatory below 28 days. Any premises charging for a continuous stay of less than 28 days must hold a valid hotel or guesthouse licence under the Hotel and Guesthouse Accommodation Ordinance (Chapter 349).
• Unlicensed operation is a crime. The offence carries a maximum fine of HKD 500,000 and imprisonment of up to 3 years.
• A conviction stays with you. A criminal record is permanent, and enforcement officers may enter with a warrant and reasonable force.
• The 28-day line is strict. The tenancy must run at least 28 days, be stated in the agreement, and not be refundable if shortened — or it still counts.
• Licensed premises owe 3% tax. From 1 January 2025, licensed hotels and guesthouses pay a 3% Hotel Accommodation Tax quarterly; unlicensed operators are already outside the law.

The red line: 28 days and a licence

Hong Kong, China regulates short stays through the Hotel and Guesthouse Accommodation Ordinance (Chapter 349). The rule is narrow and absolute: any premises provided for a charge for a continuous period of less than 28 days is treated as a hotel or guesthouse, and must hold a valid licence issued under the ordinance. There is no small-scale exception for "just my flat" or "just a few nights a month." If you take payment for a stay under 28 days and you are not licensed, the activity itself is the offence.

The penalty is where hosts get surprised. Operating without a licence is a criminal offence, not a civil fine you negotiate. The maximum sentence is a fine of HKD 500,000 and imprisonment of up to 3 years. That ceiling was raised from the earlier HKD 200,000 and 2 years, which tells you the direction enforcement has taken. Beyond the headline penalty, two points sharpen the warning: a conviction leaves a permanent criminal record, and officers may enter premises with a search warrant and reasonable force to investigate.

The line is absolute: in Hong Kong, China, any paid stay under 28 days needs a hotel or guesthouse licence, and running without one is a crime — not a fine you can pay and forget.

Which kind of letting are you actually running?

Not every "short let in Hong Kong, China" sits in the same bucket. Sort your situation against the ordinance.

• You rent your flat for stays under 28 days without a licence. This is the high-risk case. The ordinance treats it as an unlicensed hotel or guesthouse, and the penalties above apply directly. A permanent criminal record is the part most hosts do not expect.
• You rent for 28 days or longer. A tenancy at or above the 28-day threshold is the ordinary route that sits outside the hotel-licensing regime — but only if the exemption is met exactly, as the next section explains.
• You hold a valid hotel or guesthouse licence. Licensed premises operate lawfully for short stays and, from 2025, owe the 3% Hotel Accommodation Tax. The licence is the difference between a business and an offence.

A practical note: keeping your blocked nights consistent matters more when the law is this strict. When one calendar at localsbnb.com drives your availability and nightly rates to Airbnb, Booking.com, Agoda, and Trip.com at once, the nights you close for compliance stay closed on every channel — and the inbox that connects to Airbnb keeps guest messages in one place, lowering the chance a booking slips through while you are deciding whether you are licensed to take it.

The 28-day exemption, and how it fails

The 28-day threshold is not a soft suggestion you can wave at an inspector. To sit outside the hotel-licensing regime, the exemption must be met on three fronts at once:

1. The tenancy must be at least 28 days. A stay that starts at 28 days but is cut short does not neatly qualify — the duration is what the ordinance measures.
2. It must be stated in the tenancy agreement. The 28-day term has to appear clearly in the written contract, not just be understood between you and the guest.
3. It must not be refundable if shortened. If you refund the difference when a guest leaves early, the arrangement starts to look like the short stay the ordinance targets.

Miss any one of these and the letting is pulled back into licensed-hotel territory. Hosts sometimes assume a "28-day minimum" toggle in the listing is enough; the ordinance looks at the actual agreement and the actual conduct, not the filter you set.

The 3% hotel accommodation tax — and who it touches

From 1 January 2025, Hong Kong, China resumed the Hotel Accommodation Tax at 3%, after the Legislative Council passed the rate resolution on 23 October 2024 restoring it from 0% to 3%. Licensed hotels and guesthouses pay it quarterly on the rent they collect. A few premises are exempt: those charging a daily rent below HKD 15, non-profit societies, and premises normally offering fewer than 10 rooms.

The point for this article is scope. The 3% tax is an obligation of licensed premises. An unlicensed operator is not "someone who forgot to file the tax" — they are already committing a criminal offence under the ordinance, which sits entirely outside the tax framework. Paying the 3% does not licence you, and being unlicensed does not let you ignore it; the two regimes are separate, and the criminal one comes first.

Self-check before you list or renew

• [ ] Is my letting for a continuous paid stay of less than 28 days? If yes, do I hold a valid hotel or guesthouse licence?
• [ ] If I rely on the 28-day route, does the tenancy run at least 28 days, state that term in the agreement, and stay non-refundable if shortened?
• [ ] Could my arrangement be read as an unlicensed hotel or guesthouse under Chapter 349?
• [ ] If licensed, am I accounting for the 3% Hotel Accommodation Tax quarterly, and do any exemptions apply?
• [ ] Do I understand that a conviction is a permanent criminal record, not a settleable fine?
• [ ] Have I spoken to a licensed Hong Kong, China solicitor rather than relying on forum advice?

Frequently asked questions

Can I just rent my Hong Kong, China flat on Airbnb for a few nights?

Not lawfully without a hotel or guesthouse licence. Any paid stay under 28 days is treated as a hotel or guesthouse under the Hotel and Guesthouse Accommodation Ordinance (Chapter 349), and operating without a licence is a criminal offence.

If I set a 28-day minimum, am I safe?

Only if the exemption is met in full: the tenancy must actually be at least 28 days, the term must be written into the agreement, and you must not refund when it is shortened. Falling short on any point pulls the letting back into licensed territory.

What is the worst that can happen for unlicensed letting?

The maximum penalty is a fine of HKD 500,000 and up to 3 years' imprisonment. A conviction also leaves a permanent criminal record, and officers may enter with a warrant and reasonable force.

Does the 3% hotel accommodation tax licence my property?

No. The 3% Hotel Accommodation Tax applies to licensed premises from 1 January 2025. It is a tax obligation, not a licence, and unlicensed operators face a criminal offence that sits outside the tax regime entirely.

Ready to keep your Hong Kong, China listing on the right side of the law? Start free at localsbnb.com.

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