This guide uses the 2026/27 year of assessment, from 1 April 2026 to 31 March 2027. Allowances, deductions and one-off tax reductions work at different stages of the calculation and should not be treated as interchangeable. The one-off reduction announced for 2025/26 is separate from the allowances applying from 2026/27.
Basic Allowance
The basic allowance is HK$145,000. Progressive rates are 2%, 6%, 10% and 14% on successive HK$50,000 bands, then 17% on the remainder. The Inland Revenue Department also considers the standard-rate calculation and charges the lower applicable amount.
2026/27 salaries tax rate table
The progressive calculation applies to net chargeable income after allowable deductions and allowances. The bands are cumulative; they are not percentages applied to your entire salary.
| Portion of net chargeable income | Progressive rate |
|---|---|
| First HK$50,000 | 2% |
| Next HK$50,000 | 6% |
| Next HK$50,000 | 10% |
| Next HK$50,000 | 14% |
| Remainder | 17% |
From 2024/25, the standard-rate calculation is two-tier: 15% on the first HK$5,000,000 of net income after deductions and before allowances, and 16% on the remainder. A high-income taxpayer should therefore compare both methods rather than multiply 17% by gross salary. The Salaries Tax Calculator shows the two estimates; the Personal Assessment Comparison is useful when a household has other income or property-related deductions. There is no official monthly tax table that replaces the annual assessment.
Married Person's Allowance
The married person's allowance is HK$290,000, but marriage does not automatically make joint assessment cheaper. Where both spouses have income, compare separate and joint assessment instead of assuming that one method always wins.
Dependent Parents / Grandparents
Dependants must usually reside in Hong Kong and either live with the taxpayer continuously for at least 6 months in the year of assessment, or the taxpayer must contribute at least HK$12,000 towards their living expenses. For 2026/27, the allowance is HK$55,000 for an eligible parent or grandparent aged 60 or above, and HK$27,500 for one aged 55 to 59. Additional allowance may apply where the dependant lives with the taxpayer throughout the year.
Child Allowance
The allowance is HK$140,000 for each of the first nine eligible children. Eligibility generally covers children under 18 and those aged 18 to 25 in full-time education. From 2026/27, a child in the first two years after birth gets another HK$140,000, so HK$280,000 in total. That covers a child under two at 31 March who was born on or after 1 April 2025, not only a child born in the current year.
MPF Tax Deductible Voluntary Contributions (TVC)
Tax Deductible Voluntary Contributions (TVC) and qualifying deferred annuity premiums share a combined annual deduction ceiling of HK$60,000. This is a deduction from income, not a dollar-for-dollar tax refund, and ordinary voluntary MPF contributions are not automatically treated as TVC.
Home Loan Interest Deduction
Taxpayers can claim interest on a loan for their principal place of residence. The basic ceiling is HK$100,000 for up to 20 years of assessment. From 2024/25, living with a qualifying child and electing the additional ceiling can add HK$20,000, to HK$120,000. Joint owners must prorate that extra ceiling, and it is available for at most 19 years of assessment. The deduction is interest, not the whole mortgage payment.
Residential Rent Deduction
If you do not own any Hong Kong residential property and rent a residential property as your principal place of residence, the basic ceiling is also HK$100,000. The same child-related election can add HK$20,000. Co-tenants share the ceiling by the number of tenants. A stamped tenancy, principal residence, and the landlord not being a close relative all affect eligibility.
Voluntary Health Insurance Scheme Premiums
Premiums paid for yourself or your dependants under recognised VHIS products are deductible up to HK$8,000 per insured person per year.
Summary
Enter actual figures supported by your records, then use the HK FinBox Salaries Tax Calculator to compare scenarios. There is no single official monthly tax table that replaces the annual assessment: payroll withholding and provisional tax can make a payslip or demand note look different from the final calculation. The result is a planning estimate; the Inland Revenue Department's assessment is authoritative.
Official sources
- IRD 2026/27 Salaries Tax Computation
- IRD Allowances, Deductions and Tax Rate Table
- IRD 2026/27 Budget Tax Measures
- IRD Salaries Tax guidance for employees
Last checked 5 October 2026. Rates, allowances and deductions remain subject to Inland Revenue and GovHK publications.