Hong Kong personal tax, explained before you file.
This guide covers the common salaries-tax path: what BIR60 is for, how the estimate works, which claims deserve a records check, and why married couples should compare separate and joint assessment.
IRD states that a paper BIR60 downloaded from the internet is not accepted as the original return. Our download is therefore a preparation worksheet, not an official BIR60. Complete the original return issued by IRD or use the official eTAX service.
What BIR60 covers
The Tax Return - Individuals (BIR60) is used to report employment and office income, rental income from solely owned properties, and profits from sole-proprietorship businesses. It can also be used to elect personal assessment when the conditions are met.
How the estimate is calculated
- Add taxable employment income such as salary, bonus, commission, taxable benefits and pension.
- Add rental income and sole-proprietorship profit when personal assessment is selected.
- Apply the selected year’s qualifying deductions, including MPF, home-loan interest, domestic rent, VHIS, annuity/TVC, donations and other entered claims subject to their caps.
- Subtract allowances to reach net chargeable income, then compare progressive rates with the standard-rate calculation.
- Apply any tax-reduction amount published for that year, subject to the statutory limit.
Ways to reduce tax legally
Tax reduction should mean checking that every claim you are entitled to make is recorded once and supported by evidence. The estimator highlights possible gaps, but it does not decide whether a claim qualifies.
- Check mandatory MPF or recognized retirement-scheme contributions against the annual cap.
- Review eligible home-loan interest or domestic-rent deductions and the additional ceilings for the selected year.
- Check qualifying VHIS, annuity premiums and tax-deductible voluntary MPF contributions.
- Check dependent-parent, child, disability and single-parent allowances only when the IRD conditions are satisfied.
- Keep receipts and supporting records; entering an amount alone does not make it deductible.
Separate versus joint assessment
A married couple can compare the tax on each spouse’s own return with a joint assessment of the household. A lower estimate can arise when one spouse has little or no income, but the result depends on the complete income, deductions, allowances and personal-assessment position of both spouses.
Use the comparison as a review aid. It does not elect joint assessment, allocate allowances, or submit either spouse’s return.
Before submitting
Match the year
Use the year of assessment printed on the return. The tax year runs from 1 April to 31 March of the following year.
Report all sources
Do not omit a former employer, commission, bonus, taxable benefit or other office income just because the employer also reported it.
Keep the original route
Complete and sign the original paper BIR60 issued by IRD, or file using the official eTAX service.