What licence does a travel agency need in Hong Kong

What Licence Does a Travel Agency Need in Hong Kong

A travel agency in Hong Kong must hold a licence issued by the Travel Industry Authority (TIA) under the Travel Industry Ordinance (Cap. 634). The statutory requirement is a Travel Agent Licence from the TIA. Operating without this licence is an offence.

The Business Registration Certificate issued by the Inland Revenue Department is not a trade licence. It does not authorise a travel agency to carry on business. Every business in Hong Kong must register under the Business Registration Ordinance (Cap. 310), but that registration is separate from and additional to the specific licence required for travel agents.

Hong Kong Travel Agency Licence

The Travel Industry Authority, established on 1 January 2023, is the sole regulator for outbound and inbound travel services in Hong Kong. Any person who carries on a travel agency business as an outbound travel agent or an inbound travel agent must hold a travel agent licence from the TIA. The licence is issued under section 17 of the Travel Industry Ordinance.

A licensed travel agent must also hold a current Business Registration Certificate. The two documents are separate: the TIA licence authorises the regulated activity, while the Business Registration Certificate is a general business registration requirement that applies to every trade.

Travel Industry Authority Licence

The Travel Industry Authority licence is not the only regulatory requirement a travel agency must meet. A licensed travel agent must also:

• Maintain a valid Business Registration Certificate from the Inland Revenue Department
• Comply with the Employment Ordinance (Cap. 57) and the Employees' Compensation Ordinance (Cap. 282) if the agency employs staff
• Obtain appropriate insurance, including travel agent liability insurance, as specified by the TIA
• File the annual return (Form NAR1) with the Companies Registry if the agency is a company

Travel Agent Licence Hong Kong

The application for a travel agent licence is made to the Travel Industry Authority. The TIA assesses whether the applicant is a fit and proper person to hold the licence, reviewing the applicant's financial standing, business plan and any criminal record. The TIA may impose conditions on the licence.

A licence is valid for one year. It must be renewed before it expires to avoid a gap in authorisation. The TIA publishes a register of licensed travel agents that is publicly searchable on its website, gov.hk.

Regulated Activity Travel Agency Hong Kong

The regulated activity of a travel agent in Hong Kong includes arranging travel packages, booking air tickets, hotel accommodation and tour services for outbound or inbound travellers. Any person who holds out as a travel agent or uses the term "travel agent" in their business name without holding a valid TIA licence commits an offence.

The Travel Industry Ordinance sets out penalties for operating without a licence. A person convicted of carrying on an unlicensed travel agency business is liable on summary conviction to a fine at level 5 (currently HK$50,000) and to imprisonment for two years.

Additional Licences and Permits

A travel agency that sells travel insurance products must also comply with the Insurance Authority's requirements. Insurance intermediaries are regulated separately, and the travel agency or its staff may need to be appointed as an insurance agent under the Insurance Ordinance (Cap. 41).

If the travel agency operates a physical office, it must display its Travel Agent Licence and Business Registration Certificate at the premises in accordance with the respective regulations. The registered office address for a company travel agent must be a physical address in Hong Kong, not a post office box.

The Travel Industry Authority provides guidance on the licence application process, fees and processing times on its official website. Business owners should check the TIA's current published information before submitting an application, as the licence fee and processing times are subject to change.