HK Salaries Tax + Allowances Calculator
Hong Kong salaries tax is progressive 2-17% but capped at 15% standard rate. Choose lower of progressive vs standard. Allowances substantially reduce taxable income.
| Income | — |
| Basic allowance | — |
| Child allowance | — |
| Dependent parent allowance | — |
| MPF deduction | — |
| Taxable income (after allowances) | — |
| Progressive tax | — |
| Standard rate tax (15%) | — |
| Tax payable (lower of two) | — |
Hong Kong salaries tax uses progressive bands 2/6/10/14/17% or standard rate 15% — whichever is lower. Generous allowances for basic, married, children, dependent parents substantially reduce taxable income for most.
Progressive vs Standard Rate
Progressive: 2% first HK$50K of net chargeable income; 6%/10%/14% on next HK$50K bands; 17% above HK$200K. Standard: 15% on net total income (after limited deductions). IRD automatically applies the lower.
Major Allowances 2026
Basic allowance HK$132,000 (single), HK$264,000 (married joint). Each child HK$130,000 plus HK$130,000 newborn-year supplement. Dependent parent 60+ HK$50,000. Disabled dependent HK$75,000.
MPF Deduction
Mandatory MPF contribution (5% of salary up to HK$1,500/mo = HK$18,000/yr) fully deductible. TVC (Tax-deductible Voluntary Contribution) up to HK$60,000/yr additional deduction.
HK\'s Tax Advantage
No capital gains tax. No dividend tax. No inheritance tax. No salt tax. No VAT/GST. Only salaries tax (15% cap), profits tax (16.5%), property tax (15%). Most attractive low-tax jurisdiction in Asia for high earners.
Last updated May 2026. Sources: IRD Hong Kong, IRD Allowances.