TVC in an MPF scheme are a new kind of MPF contribution. Holders of contribution accounts (except Special Voluntary Contribution accounts) or personal accounts in MPF schemes; or members of MPF Exempted ORSO Schemes are eligible to make TVC. The above scheme members can open TVC accounts in an MPF scheme that offers TVC and make contributions directly to their account starting from 1 April 2019.

Tax Implication of QDAP:

Please note that the tax deduction arrangement under this web page is provided for your reference only and does not necessarily mean you will be eligible for tax deduction available for QDAP premiums you have paid. The tax deduction arrangement under this web page is based on the features of the product as well as certification by the Insurance Authority (“IA”) and not the facts of your own situation. You must also meet all the eligibility requirements set out under the Inland Revenue Ordinance and any guidance issued by the Inland Revenue Department of Hong Kong Special Administrative Region (“IRD”) before you can claim these tax deductions.

Any general tax information provided is for your reference only, and you should not make any tax-related decisions based on such information alone. You should always consult with a professional tax advisor if you have any doubts. Please note that the tax law, regulations or interpretations are subject to change and may affect related tax benefits including the eligibility criteria for tax deduction. Sun Life Hong Kong Limited is not responsible for informing you about any changes in the laws and regulations or interpretations, and how they may affect you.

Please note that only qualifying annuity premiums due and paid during a year of assessment will be eligible for tax deduction for that year of assessment. Subject to IRD’s discretion, all or part of the qualifying annuity premiums paid during the grace period but due in the previous year of assessment may or may not be eligible for tax deduction for that year of assessment. Further information on tax concessions applicable to QDAP may be found at the webpage of IA www.ia.org.hk/en. You may also refer to the website of IRD or contact IRD directly for any tax related enquiries.

The above information is based on and compiled with information from sources that is deemed to be reliable, but Sun Life Hong Kong Limited does not guarantee the accuracy or completeness of such information, and will not accept any liability for the information. All information contained in this document is a general guide for reference only, and is not any form of guarantee or professional advice.

The foregoing information provided is for illustration purpose only. It is not a

Generally speaking, there are three different types of MPF voluntary contributions for employees to choose from, namely (1) Employee Voluntary Contributions (2) Special Voluntary Contributions; and (3) TVC

1. Employee Voluntary Contributions: Voluntary contributions made to the MPF scheme selected by employers, are deducted from salaries and are not tax deductible. Contributions can usually be withdrawn after terminating the employment.
2. Special Voluntary Contributions: Members who select their own MPF scheme and open separate accounts can make their own Special Voluntary Contributions. The arrangements for both contributions and withdrawals are more flexible, but still not tax deductible.
3. TVC: Members who select their own MPF scheme and open separate TVC accounts can make their own contributions. The arrangement is more flexible and is tax deductible (up to a maximum deductible quota). But, just as for the mandatory contributions, the accumulated amounts in the TVC accounts can only be withdrawn when the holder reaches the age of 65 (or on other statutory grounds).

Tax Implication of QDAP:

Please note that the tax deduction arrangement under this web page is provided for your reference only and does not necessarily mean you will be eligible for tax deduction available for QDAP premiums you have paid. The tax deduction arrangement under this web page is based on the features of the product as well as certification by the Insurance Authority (“IA”) and not the facts of your own situation. You must also meet all the eligibility requirements set out under the Inland Revenue Ordinance and any guidance issued by the Inland Revenue Department of Hong Kong Special Administrative Region (“IRD”) before you can claim these tax deductions.

Any general tax information provided is for your reference only, and you should not make any tax-related decisions based on such information alone. You should always consult with a professional tax advisor if you have any doubts. Please note that the tax law, regulations or interpretations are subject to change and may affect related tax benefits including the eligibility criteria for tax deduction. Sun Life Hong Kong Limited is not responsible for informing you about any changes in the laws and regulations or interpretations, and how they may affect you.

Please note that only qualifying annuity premiums due and paid during a year of assessment will be eligible for tax deduction for that year of assessment. Subject to IRD’s discretion, all or part of the qualifying annuity premiums paid during the grace period but due in the previous year of assessment may or may not be eligible for tax deduction for that year of assessment. Further information on tax concessions applicable to QDAP may be found at the webpage of IA www.ia.org.hk/en. You may also refer to the website of IRD or contact IRD directly for any tax related enquiries.

The above information is based on and compiled with information from sources that is deemed to be reliable, but Sun Life Hong Kong Limited does not guarantee the accuracy or completeness of such information, and will not accept any liability for the information. All information contained in this document is a general guide for reference only, and is not any form of guarantee or professional advice.

The foregoing information provided is for illustration purpose only. It is not a recommendation to purchase, sell or hold any particular products/funds.

All you need to do is to open a TVC account in your preferred MPF scheme with TVC account available. The procedure is very simple and does not need to be arranged by your employer.

There is no minimum limit on tax deductible contributions (subject to the scheme rule), it’s all up to the individual. You can also raise or lower the amount of your contribution, stop or resume contributions at any time and thus enjoy a high degree of flexibility.

Tax Implication of QDAP:

Please note that the tax deduction arrangement under this web page is provided for your reference only and does not necessarily mean you will be eligible for tax deduction available for QDAP premiums you have paid. The tax deduction arrangement under this web page is based on the features of the product as well as certification by the Insurance Authority (“IA”) and not the facts of your own situation. You must also meet all the eligibility requirements set out under the Inland Revenue Ordinance and any guidance issued by the Inland Revenue Department of Hong Kong Special Administrative Region (“IRD”) before you can claim these tax deductions.

Any general tax information provided is for your reference only, and you should not make any tax-related decisions based on such information alone. You should always consult with a professional tax advisor if you have any doubts. Please note that the tax law, regulations or interpretations are subject to change and may affect related tax benefits including the eligibility criteria for tax deduction. Sun Life Hong Kong Limited is not responsible for informing you about any changes in the laws and regulations or interpretations, and how they may affect you.

Please note that only qualifying annuity premiums due and paid during a year of assessment will be eligible for tax deduction for that year of assessment. Subject to IRD’s discretion, all or part of the qualifying annuity premiums paid during the grace period but due in the previous year of assessment may or may not be eligible for tax deduction for that year of assessment. Further information on tax concessions applicable to QDAP may be found at the webpage of IA www.ia.org.hk/en. You may also refer to the website of IRD or contact IRD directly for any tax related enquiries.

The above information is based on and compiled with information from sources that is deemed to be reliable, but Sun Life Hong Kong Limited does not guarantee the accuracy or completeness of such information, and will not accept any liability for the information. All information contained in this document is a general guide for reference only, and is not any form of guarantee or professional advice.

The foregoing information provided is for illustration purpose only. It is not a recommendation to purchase, sell or hold any particular products/funds.

The whole idea of the MPF system is to encourage working people to make regular monthly contributions leveraging the effect of dollar cost averaging to be better prepared for their retirement. You should understand the advantages of the MPF scheme and consider making extra voluntary contributions on top of your mandatory contributions to achieve your retirement goals earlier.

• To help you grasp the opportunity: Compared to most retail fund products in the market, the MPF allows working people to make small investments in one or more funds and change their investment portfolio at any time they wish. There are no bid-ask spreads, and no extra charges for changing investment instructions or redeeming funds1.
• To help you maintain flexibility: You can raise or lower the amount of your contributions, stop or resume your contributions at any time, and even transfer all your contributions to another TVC accounts under other MPF schemes. This allows you to make adjustments in case of changes to your income and the investment market situation.
• To help you make smarter calculations: The TVC you made are tax deductible. The money you save from these tax concession can be used to help cover your daily expenses, or put into other investment plans to achieve your savings goals earlier.

1http://www.mpfa.org.hk/tch/information_centre/blog/190407.jsp

Tax Implication of QDAP:

Please note that the tax deduction arrangement under this web page is provided for your reference only and does not necessarily mean you will be eligible for tax deduction available for QDAP premiums you have paid. The tax deduction arrangement under this web page is based on the features of the product as well as certification by the Insurance Authority (“IA”) and not the facts of your own situation. You must also meet all the eligibility requirements set out under the Inland Revenue Ordinance and any guidance issued by the Inland Revenue Department of Hong Kong Special Administrative Region (“IRD”) before you can claim these tax deductions.

Any general tax information provided is for your reference only, and you should not make any tax-related decisions based on such information alone. You should always consult with a professional tax advisor if you have any doubts. Please note that the tax law, regulations or interpretations are subject to change and may affect related tax benefits including the eligibility criteria for tax deduction. Sun Life Hong Kong Limited is not responsible for informing you about any changes in the laws and regulations or interpretations, and how they may affect you.

Please note that only qualifying annuity premiums due and paid during a year of assessment will be eligible for tax deduction for that year of assessment. Subject to IRD’s discretion, all or part of the qualifying annuity premiums paid during the grace period but due in the previous year of assessment may or may not be eligible for tax deduction for that year of assessment. Further information on tax concessions applicable to QDAP may be found at the webpage of IA www.ia.org.hk/en. You may also refer to the website of IRD or contact IRD directly for any tax related enquiries.

The above information is based on and compiled with information from sources that is deemed to be reliable, but Sun Life Hong Kong Limited does not guarantee the accuracy or completeness of such information, and will not accept any liability for the information. All information contained in this document is a general guide for reference only, and is not any form of guarantee or professional advice.

The foregoing information provided is for illustration purpose only. It is not a recommendation to purchase, sell or hold any particular products/funds.

Hong Kong taxpayers can claim tax deductions through TVC in an MPF scheme up to a cap of HKD 60,000 for the year of assessment of 2019/2020. Based on the prevailing highest tax rate (i.e. 17%) for salaries tax/personal assessments, the maximum tax savings could reach HKD 10,200 for the year of assessment of 2019/2020.

To utilise the tax deductible quota, you could also consider purchasing a Qualifying Deferred Annuity Policy along with your TVC. The HKD 60,000 mentioned above is a shared quota among QDAP and TVC. In other words, a taxpayer can claim tax deductions for the premiums paid for the Qualifying Deferred Annuity Policy, and the TVC. The total maximum tax deductions for the year of assessment of 2019/2020 is HKD 60,000.

Tax Implication of QDAP:

Please note that the tax deduction arrangement under this web page is provided for your reference only and does not necessarily mean you will be eligible for tax deduction available for QDAP premiums you have paid. The tax deduction arrangement under this web page is based on the features of the product as well as certification by the Insurance Authority (“IA”) and not the facts of your own situation. You must also meet all the eligibility requirements set out under the Inland Revenue Ordinance and any guidance issued by the Inland Revenue Department of Hong Kong Special Administrative Region (“IRD”) before you can claim these tax deductions.

Any general tax information provided is for your reference only, and you should not make any tax-related decisions based on such information alone. You should always consult with a professional tax advisor if you have any doubts. Please note that the tax law, regulations or interpretations are subject to change and may affect related tax benefits including the eligibility criteria for tax deduction. Sun Life Hong Kong Limited is not responsible for informing you about any changes in the laws and regulations or interpretations, and how they may affect you.

Please note that only qualifying annuity premiums due and paid during a year of assessment will be eligible for tax deduction for that year of assessment. Subject to IRD’s discretion, all or part of the qualifying annuity premiums paid during the grace period but due in the previous year of assessment may or may not be eligible for tax deduction for that year of assessment. Further information on tax concessions applicable to QDAP may be found at the webpage of IA www.ia.org.hk/en. You may also refer to the website of IRD or contact IRD directly for any tax related enquiries.

The above information is based on and compiled with information from sources that is deemed to be reliable, but Sun Life Hong Kong Limited does not guarantee the accuracy or completeness of such information, and will not accept any liability for the information. All information contained in this document is a general guide for reference only, and is not any form of guarantee or professional advice.

The foregoing information provided is for illustration purpose only. It is not a recommendation to purchase, sell or hold any particular products/funds.

Eligible members can open a TVC account in their preferred MPF scheme with a TVC account available at any time from 1 April 2019 to 31 March 2020. They can then claim a tax deduction for the year of assessment of 2019/2020. Since there is still some time from the first claiming year of assessment, and the TVC is a new arrangement, working people should spend some time learning about their own financial needs and choose an MPF scheme and contribution amounts that best fit their individual situations. You only need to open a TVC account successfully on or before March 21, 2020. Then you can catch up later for the year of assessment of 2019/2020 to apply for a tax deduction.

After the year of assessment of 2019/2020 ends, the trustee will send the TVC summaries to its members, so they can use that to apply for their tax deductions when filling in their tax returns.

Tax Implication of QDAP:

Please note that the tax deduction arrangement under this web page is provided for your reference only and does not necessarily mean you will be eligible for tax deduction available for QDAP premiums you have paid. The tax deduction arrangement under this web page is based on the features of the product as well as certification by the Insurance Authority (“IA”) and not the facts of your own situation. You must also meet all the eligibility requirements set out under the Inland Revenue Ordinance and any guidance issued by the Inland Revenue Department of Hong Kong Special Administrative Region (“IRD”) before you can claim these tax deductions.

Any general tax information provided is for your reference only, and you should not make any tax-related decisions based on such information alone. You should always consult with a professional tax advisor if you have any doubts. Please note that the tax law, regulations or interpretations are subject to change and may affect related tax benefits including the eligibility criteria for tax deduction. Sun Life Hong Kong Limited is not responsible for informing you about any changes in the laws and regulations or interpretations, and how they may affect you.

Please note that only qualifying annuity premiums due and paid during a year of assessment will be eligible for tax deduction for that year of assessment. Subject to IRD’s discretion, all or part of the qualifying annuity premiums paid during the grace period but due in the previous year of assessment may or may not be eligible for tax deduction for that year of assessment. Further information on tax concessions applicable to QDAP may be found at the webpage of IA www.ia.org.hk/en. You may also refer to the website of IRD or contact IRD directly for any tax related enquiries.

The above information is based on and compiled with information from sources that is deemed to be reliable, but Sun Life Hong Kong Limited does not guarantee the accuracy or completeness of such information, and will not accept any liability for the information. All information contained in this document is a general guide for reference only, and is not any form of guarantee or professional advice.

The foregoing information provided is for illustration purpose only. It is not a recommendation to purchase, sell or hold any particular products/funds.