5 FACTS ABOUT CHARITABLE TAX DEDUCTION

The Inland Revenue Department issues tax returns in May every year and donors who donate during the financial year, i.e. between 1st April to 31st March of the following year, may have the chance to enjoy charitable tax deductions.
 

#1 WHICH TAX CATEGORY ARE CHARITABLE DONATIONS DEDUCTED FROM? 

Donations to tax-exempt charities or to Government for charitable purposes can be deducted from your net assessable income under salaries tax, assessable profits under profits tax and total income under personal assessment.  

#2 HOW DO I FIND OUT IF I AM DONATING TO AN "APPROVED CHARITABLE DONATION"? 

"Approved charitable donation" means a donation of money to any charitable institution or trust of a public character, which is exempt from tax under section 88 of the Inland Revenue Ordinance, or to the Government, for charitable purposes. (Section 2 of the Inland Revenue Ordinance)  

You can click the list of charitable institutions and trusts which are exempt from tax under section 88 of the Inland Revenue Ordinance to check eligibility of the recipient of the donation. 

#3 HOW CAN I BE ELIGIBLE TO APPLY FOR A CHARITABLE TAX DEDUCTION? 

According to Hong Kong tax regulations, with the receipt of accumulated charitable donations amounting to HK$100 or above annually, donors can apply for tax deduction (up to 35% of the assessable income or profits).  

To lodge a claim for deduction, you should enter the total amount of approved charitable donations made during the relevant year of assessment in your Tax Return – Individuals (BIR60). 


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To understand how charitable deductions are calculated, please click on the income tax calculator.*
*Please ensure that the tax year is correct before starting the calculation.

#4 WHAT SUPPORTING DOCUMENTS DO I NEED TO APPLY FOR A TAX RETURN? 

Regular donors will receive an annual donation receipt from The Fred Hollows Foundation Hong Kong by the end of April each year. The annual receipt will list the total donations made in the past financial year for tax deduction purposes. 

You do not need to attach any supporting documents at the time of submission of your Tax Return – Individuals, but you are advised to obtain receipts and retain them for a period of 6 years after the expiration of the year of assessment in which the donations were made, in the case your case is selected for review then you are required to produce receipts for examination. 

#5 WHAT KIND OF DONATIONS ARE NOT ELIGIBLE FOR TAX DEDUCTION? 

According to the Inland Revenue Department, the following kinds of donations not eligible for tax deduction: 

• Payments for lottery or raffle tickets 
• Payments for admission to film shows or charity shows 
• Payments for grave spaces 
• Payments made for services such as saying prayers or the reservation of a space for ancestral worship 
• Purchase of goods in bazaars 
• Payments made to a church, a tax-exempt charity, through dropping cash in the donation bag during Sunday masses except where donation receipts could be produced to prove the amount of donation made by the claimant. 

Reference: GovHK website

ARE DONATIONS MADE TO THE FRED HOLLOWS FOUNDATION TAX DEDUCTIBLE? 

Yes, The Fred Hollows Foundation (HK) Limited is registered as a Hong Kong charity and our Tax-Exempt Charity No is 91/13694.

WHAT IMPACT CAN YOUR DONATION BRING?

Blindness and vision impairment is a health issue, and related to a person's well-being, quality of life and development opportunities. The Fred Hollows Foundation believes that a fly-in-fly-out model is not the best way to develop a place’s eye health care. Our vision is to build sustainable, good quality and affordable eye care in remote areas of the world. 

Your donation will be used to: 

• Train surgeons or eye health workers 
• Provide medical equipment 
• Organize eye screening camps in remote areas 
• Raise awareness of eye health to the public 
• Invest in innovation and research  

The above work will help build the local capacity of eye health in remote areas. Doctors, nurses and community eye care staff can identify, diagnose, refer and treat various eye diseases on time in the community. The Fred Hollows Foundation believes that a fly-in-fly-out model is not the best way to develop a place’s eye health care. Our aim is to build a sustainable eye health workforce in remote areas to help people have their sight restored.