It’s that time of year again! The “green bomb” (tax return) is about to land in your mailbox. Are you prepared for the 2025 tax season? Whether you’re a seasoned taxpayer or filing for the first time, understanding the key dates and deadlines will help you stay organized and avoid unnecessary penalties.
Pre-filing Preparation (January-April)
Before the tax forms arrive, smart taxpayers are already gathering these important documents:
- Annual salary statements from your employer
- MPF contribution records
- Insurance premium receipts (especially for VHIS plans)
- Mortgage interest statements
- Records of charitable donations
- Receipts for qualifying education expenses
Pro tip: Create a digital folder on your computer or use a physical folder to keep all tax-related documents in one place throughout the year. This simple habit can save you hours of searching when it’s time to file!
When to Expect Your Tax Return (May)
The Inland Revenue Department (IRD) will issue approximately 2.66 million individual tax returns on 2 May 2025. This infamous “green bomb” comes with a standard one-month deadline, but don’t panic – we’ll explain how to get more time later.
Different types of returns are sent out at different times:
- 2 May 2025: Individual tax returns
- 1 April 2025: Profits tax returns, property tax returns, and employer’s returns
Filing Deadlines: Mark Your Calendar!
Paper Filing Deadlines
- Individual taxpayers: 2 June 2025
- Self-employed individuals: 2 August 2025
Electronic Filing Deadlines (eTAX)
- Individual taxpayers: July 3, 2025 (an extra month!)
- Self-employed individuals: September 3, 2025
Money-saving tip: Filing electronically through eTAX not only gives you an extra month but also speeds up your assessment and any potential refunds!
Assessment Period (October and onwards)
After you’ve submitted your tax return, the IRD will process it and issue an assessment notice starting from October 2025. This document will show:
- Your assessed taxable income
- Allowances and deductions granted
- Final tax amount payable
- Payment due dates for each installment
Don’t just file the assessment notice away! Check it carefully against your submitted return to ensure everything is correct.
Payment Schedule (2025-2026)
Tax payments are typically divided into two installments:
- First installment: January 2026
- Second installment: April 2026
If you’re facing financial difficulties, you can apply for an extension or payment by installments by contacting the IRD before your payment due date.
What Happens If You Miss a Deadline?
Missing tax deadlines can lead to unpleasant consequences:
- Late filing penalties up to HK$10,000
- Potential prosecution
- Additional tax penalties
- Loss of deduction entitlements
The IRD can add a 5% surcharge on overdue tax, and an additional 10% surcharge if the tax remains unpaid six months after the due date. In short – file on time!
First-time Taxpayers: Special Considerations
If you’ve just started working, you won’t receive a tax return automatically. Your employer should report your employment to the IRD within three months of your start date. The IRD will then create a file for you and issue a tax return within the following five months.
If you start earning a taxable amount but don’t receive a tax return, you’re responsible for notifying the IRD within four months after the tax year ends (i.e., by July 31, 2025).
