Hong Kong Tax Calculator (2026)

Income tax rates and take-home pay for Hong Kong

Hong Kong Income Tax Brackets (2025-26)

Bracket Income Range Rate
First 50,000HK$0 - HK$50,0002.0%
Next 50,000HK$50,000 - HK$100,0006.0%
Next 50,000HK$100,000 - HK$150,00010.0%
Next 50,000HK$150,000 - HK$200,00014.0%
RemainderHK$200,000+17.0%

Personal allowance: HK$132,000

Mandatory Provident Fund (MPF)

Bracket Income Range Rate
Below thresholdHK$0 - HK$85,2000.0%
Standard contributionHK$85,200+5.0%

Capped at HK$18,000 per year

Key Facts

Tax Year

2025-26

Currency

HKD

Top Rate

17.0%

Brackets

5 brackets

Allowance

HK$132,000

Social Contributions

1 item

Assumptions

  • · Salaries tax is calculated as the lower of: (1) Progressive rates on Net Taxable Income (Gross Income - Deductions - Allowances) or (2) Two-tiered standard rates on Net Assessable Income (Gross Income - Deductions). This data implements the progressive rate system.
  • · The two-tiered standard rate mentioned in the source (15% on first 5M, 16% on remainder) acts as a tax cap.
  • · Mandatory Provident Fund (MPF) contributions are deductible for salaries tax purposes.
  • · Basic Allowance (132,000 HKD) applied for a single person profile.

Frequently asked questions

How much income tax do I pay in Hong Kong?

Hong Kong uses a progressive tax system with five income brackets ranging from 2% on the first HKD 50,000 to 17% on income above HKD 200,000. However, your actual tax bill is calculated as the lower of either the progressive rates or a two-tiered standard rate cap (15% on the first HKD 5 million, 16% on the remainder), which effectively limits your overall tax burden. You also get a Basic Allowance of HKD 132,000 that reduces your taxable income before these rates apply.

What is MPF and do I have to contribute?

MPF stands for Mandatory Provident Fund, which is Hong Kong's mandatory retirement savings scheme. Employees contribute 5% of their gross income once they earn above HKD 85,200, up to a maximum contribution of HKD 18,000 per year, and this contribution is tax-deductible, meaning it reduces the income amount you pay tax on.

As an expat, will I pay tax on my worldwide income in Hong Kong?

Hong Kong's tax system is generally based on income sourced in Hong Kong and income remitted to Hong Kong, rather than worldwide income, making it attractive for expats. However, tax residency rules and specific circumstances can affect your liability, so you should consult with a tax professional to understand your personal situation.

What deductions and allowances can I claim?

The main allowance available is the Basic Allowance of HKD 132,000 for single individuals, which is subtracted from your gross income to calculate your taxable income. Additionally, MPF contributions are deductible, and various other personal allowances may apply depending on your circumstances, such as married person's allowance or dependent allowances.

Is there a tax-free threshold in Hong Kong?

Hong Kong does not have a traditional tax-free threshold; however, with the Basic Allowance of HKD 132,000 and the progressive bracket structure starting at only 2%, many lower-income earners pay minimal or no tax. Once your income exceeds the allowance amount, you begin paying tax at the 2% rate on the first HKD 50,000 of net taxable income.

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