Income tax in Hong Kong How your salary is taxed

Tax on salary isn't deducted at source in Hong Kong. Employees need to complete a tax declaration detailing earnings at the end of each fiscal year (31st March). The declaration is often delivered by the employer. Self-employed persons make a personal assessment.

Tax in Hong Kong on income is progressive, with rates from 2-17%, although the standard charge of tax is 16% (2008). Allowances for solitary parents, married couples and for the sum of dependent children reduce the taxable sum from the total of salary.Depending on when you start working, you could get your first tax bill 18 months later. Bear in thoughts the sum of outstanding tax you owe or the bill can be a shock. a great idea is to place it in a separate account every month. Your normally get an assessment recognize from the Inland income Department (IRD) in autumn while using sum due.Hong Kong Tourist guide

For way more information on tax declarations, check out the IRD website at www.ird.gov.hk . in addition, it offers an automatic salary tax computation service. Make sure to keep the IRD as much as day with alterations to your address and to inform them without delay in circumstance of delayed payment. nathan-road-sai-yeung-choi-street-sai Tax in Hong Kong A surcharge of 5% is normally automatically additional to past due payments.