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What allowances can I claim
If you are assessed to salaries tax or have elected
personal assessment, you are entitled to basic allowance for any
year of assessment. You are also eligible to claim the allowances
as specified in the Inland Revenue Ordinance provided the prescribed
conditions are satisfied. Such allowances include:
married person's allowance;
child allowance;
dependent brother/sister
allowance;
dependent parent/grandparent
allowance;
single parent
allowance;
disabled dependant
allowance.

Basic allowance
You are entitled to basic allowance for any year
of assessment unless you are married and have been granted married
person's allowance for the year.
You are entitled to the allowance without lodging a claim.
Married
person's allowance
You are eligible to claim married person's allowance
if you were, at any time during a year of assessment,
married and not living apart from your spouse; or
living apart from your spouse but was maintaining or supporting him/her;
and
your spouse did not have any income chargeable to salaries tax; or
you and your spouse have elected joint assessment; or
you and your spouse have elected personal assessment.
'Marriage' in the context of the Inland Revenue Ordinance is intended
to refer a hetero-sexual marriage between a man and a woman. 'Spouse'
is defined in section 2 as a husband or wife. 'Husband' means a married
man and 'wife' means a married woman. Parties in a same-sex marriage
are not granted married person's allowance because the provisions
in section 29 cannot be satisfied in that they cannot have a 'spouse'
within the definition of the term in the Inland Revenue Ordinance
.
Child allowance
You are eligible to claim child allowance if, at
any time during a year of assessment, you maintain an unmarried
child, who was:
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under the age of 18; or |
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of or over the age of
18 but under 25, and was receiving full time education at
a university, college, school or other similar educational
establishment; or
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of or over the age of 18, and
was, by reason of physical or mental disability, incapacitated
for work. |
'Child' refers to:
the child of you or your spouse or former spouse; or
the
adopted child of you or your spouse or former spouse; or
the
step-child of you or your spouse or former spouse.
If a married couple, not being a husband and a wife
living apart, have more than one child for whom child allowance
is claimed, all child allowances must be claimed by either the husband
or the wife. They must decide as to who shall claim the allowance.
In general, the overall tax liabilities of a married couple may
be minimized if a nomination is made in accordance with the following
guidelines:
| Situation
|
Person
to claim the child allowance |
| (1)
|
Only one spouse
has income chargeable to salaries tax. |
The spouse who has income.
|
| (2) |
Both husband and wife
have income chargeable to salaries tax. |
The one who has higher income.
|
| (3) |
Both husband and wife
have income chargeable to salaries tax, and one of them is assessed
at standard rate. |
The one whose income is not assessed at
standard rate.
|
If more than one individuals are entitled to claim child
allowance or dependent brother/sister allowance in respect of the
same person for the same year of assessment, they must agree among
themselves as to who shall claim the allowance. If there is no agreement,
no allowance will be granted.
From 2007/08 onwards, the child allowance will be increased from
$40,000 to $50,000 for each child; and for each child born during
the year, the child allowance will be increased by $50,000. If your
child is born on or after 1 April 2008, you can complete Part 8.2
of your Tax Return - Individuals for 2007/08 by providing details
of this new born child. The Department will grant child allowance
of $100,000 for that child when computing your 2008/09 provisional
tax. For child born after the completion of the tax return, you
can apply for holding over of provisional tax after receipt of the
notice of assessment.
Dependent
brother/sister allowance
You are eligible to claim dependent brother/sister allowance if
you or your spouse, not being a spouse living apart, maintains you
or your spouse's unmarried brother or sister, who was at any time
in the year of assessment,
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under the age of 18; or |
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of or over the age of
18 but under 25, and was receiving full time education at
a university, college, school or other similar educational
establishment; or
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of or over the age of 18 and
was, by reason of physical or mental disability, incapacitated
for work. |
'Brother/Sister' refers to:
the
natural brother/sister of you or your spouse; or
the
adopted brother/sister of you or your spouse; or
the step brother/sister of you or your spouse; or
the brother/sister of your deceased spouse.
A brother/sister is only treated as maintained by
you or your spouse if at any time during the year, you or your spouse
had sole or predominant care of the brother/sister.
If more than one individuals are entitled to claim
dependent brother/sister allowance or child allowance in respect
of the same person for the same year of assessment, they must agree
among themselves as to who shall claim the allowance. If there is
no agreement, no allowance will be granted.

Dependent parent/grandparent allowance
You are eligible to claim dependent parent/grandparent
allowance if you or your spouse, not being a spouse living apart,
maintains your or your spouse's parent/grandparent, who at any time
in the year of assessment,
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was ordinarily resident in Hong Kong;
and |
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was aged 60 or more or,
being under the age of 60, was eligible to claim an allowance
under the Government's Disability Allowance Scheme; and
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had either
resided with you and your spouse, otherwise than for full
valuable consideration, for a continuous period of not less
than 6 months, or had received from you or your spouse not
less than $12,000 in money towards his/her maintenance. |
You are eligible to claim additional
dependent parent/grandparent allowance in respect of each dependent
parent/grandparent who resided with you, otherwise than for full
valuable consideration, continuously throughout the year of assessment.
For the year of assessment
2005/06 and onwards, a new Dependent Parent/ Grandparent Allowance
will also be granted to you maintaining dependent parent/grandparent
who does not attain the age of 60 in the year of assessment, but
provided the dependant :
A new Additional Dependent Parent/Grandparent
Allowance will also be granted if the dependant has resided with
you, otherwise than for full valuable consideration, continuously
throughout the year of assessment. The rate of the new basic and
additional allowance is one half of the respective counterpart allowance
granted to you maintaining dependent parent/grandparent aged 60
years or more or who is eligible to claim an allowance under the
Government's Disability Allowance Scheme.
'Parent' refers to
the natural father/mother of you or your spouse; or
a parent by whom you or your spouse was legally adopted; or
a step-parent of you or your spouse; or
a parent of your deceased spouse.
'Grandparent' refers to
a natural grandfather/grandmother of you or your spouse; or
an adoptive grandparent of you or your spouse; or
a step-grandparent of you or your spouse; or
a grandparent of your deceased spouse.
Only one person can be granted an allowance in respect
of the same dependant. If more than one person is entitled to the
allowance in respect of the same dependant, they must agree among
themselves as to who shall claim the allowance.
If a deduction for elderly
residential care expenses has been allowed to you for any
year of assessment in respect of a parent or grandparent, no dependent
parent/grandparent allowance will be granted to you for the same
parent or grandparent for that year of assessment.
Single parent allowance
You are eligible to claim single parent allowance
if you were single throughout that year of assessment and had at
any time during that year the sole or predominant care of a child
in respect of whom you are granted child allowance.
In essence, the entitlement to single parent allowance
rests on the claimant having had fulfilled the responsibility, on
the ongoing basis, for the provisions of daily care and supervision
for his/her child during the year of claim, and being able to satisfy
two other conditions.
The first condition is that throughout the year of
claim you must be single, divorced, widowed or if married, was living
apart from the spouse. Therefore, no allowance can be claimed for
the year of marriage, divorce, death of spouse or separation with
the spouse. The earliest opportunity will be the year following
these events.
The second condition is that you are granted child
allowance for the year of claim. [Please note that partial
child allowance may be granted when both parents had contributed
money towards the child's maintenance and education. Under the law
the Commissioner is empowered, in case of dispute, to split the
allowance according to the amount of contribution by each parent
during the year of assessment concerned.]
Whilst child allowance is granted on account of money
contributions to maintenance and education; single parent allowance
is granted on account of time spent on the provision of daily
care and supervision.
If both parents want to claim single parent allowance,
the allowance may be apportioned by reference to the periods of
time in which the claimants had the sole or predominant care of
the child concerned during the year of assessment. The law provides
that, in case of dispute, the Commissioner may decide the basis
for such time apportionment.
The law also specifies that no
parent can claim single parent allowance on the ground that he/she
had made contributions to the maintenance and education of the child
during the year of assessment. And, no allowance is due in respect
of any second or subsequent child.
Disabled dependant allowance
You are eligible to claim disabled dependant allowance
if you or your spouse, not being a spouse living apart, maintains
a dependant who is eligible to claim an allowance under the Government's
Disability Allowance Scheme.
The dependant may be:
your
spouse; or
your
child; or
the
parent or grandparent of you or your spouse; or
the
brother or sister of you or your spouse.
The allowance is granted in addition to the following allowance
or deduction in respect of the disabled person:
married person's allowance; or
child allowance; or
dependent parent/grandparent allowance or elderly residential care
expenses; or
dependent brother/sister allowance.

How
to lodge a claim for allowance
A claim for the allowance (except basic allowance)
may be made in Part 8 of the Tax Return - Individuals (B.I.R. 60)
for the relevant year of assessment. You are not required to submit
documentary evidence in support of the claim together with the tax
return. You should, however, retain such documentary evidence for
production to the Inland Revenue Department for verification when
required.
If you have omitted to claim an allowance in the
tax return, you may lodge a claim subsequently in writing, but not
later than 6 years after the end of the year of assessment to which
the claim relates. You may also complete the relevant parts of I.R.
831 and return it to the Inland Revenue Department. If you wish
to download I.R. 831, please
click here. Please send it to the Department by post
(P.O. Box 28777, Gloucester Road Post Office, Hong Kong) or by fax
(2877 1232) after completion.
You may fill in I.R. 831 electronically, sign it
by means of a digital certificate and transmit it to the Inland
Revenue Department through the Internet. If you wish to submit I.R.
831 electronically, you have to install the e-Form program in your
computer first, and then download the e-Form I.R. 831 and install
it in the e-Form program. For details, please visit our web page
Electronic Services : e-Form.
Amount of allowances
for the latest 7 years
| Year
of assessment |
2002/03 |
2003/04 |
2004/05
|
2005/06
and 2006/07 |
2007/08
|
2008/09#
|
| |
|
|
|
|
|
|
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$ |
$
|
$
|
$ |
$
|
$
|
| Basic
allowance |
108,000 |
104,000 |
100,000 |
100,000 |
100,000 |
108,000 |
| Married
person's allowance |
216,000 |
208,000 |
200,000 |
200,000 |
200,000 |
216,000 |
| Child
allowance |
|
|
For each of the 1st and 2nd child |
30,000 |
30,000 |
30,000 |
40,000 |
50,000 |
50,000 |
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For
each of the 3rd - 9th child |
15,000 |
30,000 |
30,000 |
40,000 |
50,000 |
50,000 |
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For
each child born during the year, the child allowance will
be increased by |
0 |
0 |
0 |
0 |
50,000 |
50,000 |
| Dependent
brother/sister allowance |
30,000 |
30,000 |
30,000 |
30,000 |
30,000 |
30,000 |
| Dependent
parent/grandparent allowance |
|
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|
|
|
|
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For each parent/grandparent
aged 60 or above or is eligible to claim an allowance
under the Government's Disability allowance Scheme |
30,000 |
30,000 |
30,000 |
30,000 |
30,000 |
30,000 |
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For each parent/grandparent
aged 55 or above but below 60 |
0 |
0 |
0 |
15,000 |
15,000 |
15,000 |
| Additional
dependent parent/grandparent allowance |
|
|
|
|
|
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For each parent/grandparent
aged 60 or above or is eligible to claim an allowance
under the Government's Disability allowance Scheme |
30,000 |
30,000 |
30,000 |
30,000 |
30,000 |
30,000 |
| |
For each parent/grandparent
aged 55 or above but below 60 |
0 |
0 |
0 |
15,000 |
15,000 |
15,000 |
| Single
parent allowance |
108,000 |
104,000 |
100,000 |
100,000 |
100,000 |
108,000 |
| Disabled
dependant allowance |
60,000 |
60,000 |
60,000 |
60,000 |
60,000 |
60,000 |
# 2008-09 Budget:
| (1) |
Proposals are subject to the enactment of the
legislation. |
| (2) |
As one of the Budget proposal, basic allowance is increased
to $108,000 and married person's allowance is increased to $216,000. |

Common questions and answers
For common questions and answers on
allowances, please click here.
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