QDAP + TVC Tax Deduction Calculator
Qualifying deferred annuities and MPF TVC share a HK$60,000 annual deduction cap. That reduces assessable income; it is not a HK$60,000 refund.
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Earnings and Tax Deduction Information
• QDAP and TVC are subject to a maximum deduction cap of HK$60,000 per annum.
• Must be a qualified deferred annuity policy and MPF TVC scheme approved by the Inland Revenue Department.
• If both TVC and QDAP are paid in the same year, Inland Revenue allows TVC first.
Estimated annual tax savings
This is tax saved because assessable income falls, not a cash refund of HK$0. IRD allows TVC first (HK$0), then QDAP (HK$0). Room left HK$60,000.
Total Tax Deduction
TVC HK$0 then QDAP HK$0
Real input costs
Room left under HK$60,000
Marginal tax rate
Tax before deduction
Tax after deduction
Annuity + TVC input
Not counting other deductions
RecommendationsRoom left under the HK$60,000 cap is HK$60,000. Filling it only helps if you already want the retirement product and can lock the money.
QDAP and TVC share a HK$60,000 deduction, not a refund
Qualifying deferred annuity premiums (QDAP) and tax-deductible MPF voluntary contributions (TVC) share one annual deduction ceiling of HK$60,000. That figure reduces assessable income. It is not a HK$60,000 cash refund. Ordinary voluntary MPF contributions are not automatically TVC.
If both are paid and the total exceeds HK$60,000, Inland Revenue allows TVC first and then any remaining room for QDAP. Amounts above the ceiling may still be paid, but they are not deducted in the same year of assessment on this page. Cooling-off refunds reduce the deductible premium.
The calculator uses the basic allowance and takes the lower of the progressive and two-tier standard-rate calculations. Married joint assessment, other allowances, couple allocation of premiums and provisional tax are not included. If income is already below the basic allowance, extra QDAP or TVC usually saves no salaries tax now.
A QDAP policy also has a term, surrender terms and guaranteed versus non-guaranteed returns. The annuitant generally needs a Hong Kong identity card. Check the product and the TVC account before locking money for a deduction. The Inland Revenue assessment remains decisive.
Data status
Year of assessment 2026/27
Tax rates, allowances and deduction caps follow published Inland Revenue Department information.
Income, deductions and household circumstances are user inputs; the result is an estimate, not an assessment.
Does not cover every eligibility condition, cross-border income, double-tax relief, provisional-tax adjustments or IRD discretion.
2026-08-20: Added the HK$100,000 self-education cap and HK$100 donation minimum, and rechecked the deduction breakdown.
References
- 1Tax deductions for qualifying annuity premiums and tax deductible MPF voluntary contributions(Inland Revenue Department)
- 2Tax deductible voluntary contributions(Mandatory Provident Fund Schemes Authority)
Site data last reviewed: 2026-08-09 · The sources above are for reference only; please refer to the latest official announcements from the relevant organisations.
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What are QDAP and TVC?
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Client-side only: All data is calculated on your device and is not uploaded to any server. Results are for reference only and do not constitute professional financial or legal advice.