Tax deduction tips

VHIS

Medical coverage for you and your family with tax deduction ceiling of HK$8,000 per insured person.

Deferred Annuity & MPF TVC

Tax deduction up to HK$60,000 per taxpayer each year.

Voluntary Health Insurance Scheme ("VHIS")

How can I enjoy tax deduction after applying for the AIA Voluntary Health Insurance Scheme

Does VHIS tax deduction apply to all AIA insurance products?

When can I apply for tax deduction after applying for AIA Voluntary Health Insurance Scheme?

What is the application process for VHIS tax deduction?

What documents do I need to submit to apply for VHIS tax deduction after applying for the AIA VHIS Plan?

Does the VHIS tax deduction overlap with other tax deductions?

If I have applied for multiple VHIS policies, can I enjoy the tax deduction of multiple policies at the same time?

Do you know what's VHIS?

Introduced by the Food and Health Bureau, Voluntary Health Insurance Scheme ("VHIS") is initiated mainly to enhance the protection level and premium transparency of hospital insurance plans. The first batch of VHIS Certified Plans will be fully launched on or after 1 April.

All VHIS Certified Plans must meet the following 10 Minimum Requirements, including (1) guaranteed renewal up to the age of 100; (2) no lifetime benefit limit*; (3) coverage extended to include hospitalisation and prescribed ambulatory procedures; (4) coverage of prescribed diagnostic imaging tests and non-surgical cancer treatments; (5) budget certainty, (6) adoption of standardised policy terms and conditions; (7) premium transparency, (8) minimum benefit limits; (9) cost-sharing restrictions; (10) coverage of pre-existing conditions.

There are two types of VHIS Certified Plans, namely the Standard Plan and the Flexi Plan: the Standard Plan provides a basic level of protection that meets but not exceed all VHIS Minimum Requirements; while the Flexi Plan provides enhanced hospital insurance benefits based on the Standard Plan product features – e.g. higher benefit limits and broader hospital benefit coverage. Certainly, premiums of the Flexi Plan will be higher than that of the Standard Plan.

Both the Standard Plan and the Flexi Plan are eligible to apply for tax deduction.

*Unless authorised by the Food and Health Bureau

Source: Voluntary Health Insurance Scheme official website and Legislative Council of the Hong Kong Special Administrative Region official website

Note:

The above information is provided for reference only. AIA HK is not liable for any damage or loss caused through use or misuse of any provided information in the above article.
AIA HK is not providing tax or accounting advice. Please consult your own tax and accounting advisors for any tax advice.

Do you know what's so special about VHIS?

Do you know what's the premium for VHIS Certified Plans?

Which should you choose, the Standard Plan or the Flexi Plan?

If you've purchased medical insurance, can you migrate your existing policy to a VHIS product?

Do you know how to calculate the tax-deductible amount of VHIS?

Can you claim for tax deduction on premiums paid for your family members?

Deferred Annuity ("DA") & MPF Tax Deductible Voluntary Contributions ("MPF TVC")

Do you know what's MPF TVC?

Do you know what sets the existing Special Voluntary Contributions and the Employee Voluntary Contributions in Current Employment apart?

Do I need to set up another MPF account for Tax Deductible Voluntary Contributions?

Can I claim for tax deduction for annuity premiums?

Do you know what's the aggregate tax deduction limit for Tax Deductible Voluntary Contributions and Deferred Annuity?

Do you know when will the Tax Deductible Voluntary Contributions come into effect?

Can I set up a Tax Deductible Voluntary Contributions account?

When can I withdraw the accrued benefits from my Tax Deductible Voluntary Contributions account?

VHIS

Deferred Annuity

MPF TVC

This plan can be purchased as a basic plan or as a rider.

With health threats and medical inflation on the rise, AIA Voluntary Health Insurance SelectWise Scheme provides you with medical protection at sustainable and affordable premiums. This plan delivers extensive medical protection, while also offering access to a wide range of healthcare services, including a dedicated medical journey through quality medical network in Hong Kong and a supreme medical experience through SelectWise Designated Hospitals^△ in mainland China, giving you a long-term peace of mind.

This plan is a certified plan under Voluntary Health Insurance Scheme (VHIS) with premiums that are eligible to be deducted^# from your annual taxable income. Taxpayer who is the policyholder can apply for a tax deduction^# of up to HKD8,000 per insured person, which the insured person of the Certified Plan should be the taxpayer himself or any specified relatives*, in each assessment year, and there is no cap on the number of specified relatives*. This way, you can enjoy superb medical cover that meets your needs, with tax deduction benefits.

^△ The list of SelectWise Designated Hospitals can be retrieved from AIA's website (www.aia.com.hk) and may be varied, updated and amended from time to time at AIA's sole discretion. For confinement in SelectWise Designated Hospitals in mainland China, the covered room shall be determined according to the group of hospitals (either group A or group B) which the relevant SelectWise Designated Hospital falls within. For any confinement and / or medical services received in non-SelectWise Designated Hospitals in mainland China, subject to the benefit limits of the VHIS Standard Plan. AIA shall not be responsible for any act, negligence or omission of any of the hospital within the list of SelectWise Designated Hospitals in the provision of services, treatments, opinions and advice.
^# Tax deductions is one of the allowable deductions from assessable income, it does not equate to a direct deduction from total tax payable. For details of tax deductions, please visit Inland Revenue Department (IRD) of HKSAR website and consult your tax and accounting advisors for tax advice.
^* Specified relatives are defined under Inland Revenue Ordinance (Chapter 112).

The product information in this material does not contain the full terms of the product, for the details of the product features, terms and conditions, exclusions and key product risks, you may refer to the product brochure and policy contract of relevant products. In case you want to read policy contract sample before making an application, you can obtain a copy from AIA. For complete product information of Voluntary Health Insurance Scheme, please refer to "Download Policy Contract" in related products webpage.

Please contact your financial planner or call AIA Customer Hotline for details.

This plan can be purchased as a basic plan or as a rider.

When you live a life of success, you need medical protection that can match your pace. AIA Voluntary Health Insurance Privilege Ultra Scheme offers advanced medical protection throughout Asia or Worldwide (excluding U.S.) with lifetime guaranteed renewal, offering you the privileged support you need to achieve more in life. With AIA Voluntary Health Insurance Privilege Ultra Scheme, you can enjoy full reimbursement^{^} with no itemised benefit sublimit for major medical expenses, hospital stays in a semi-private room or standard private room (depending on confinement location), full cover for non-surgical cancer treatment and extended support in the hospital and beyond. Embark on a journey of healthy living an instant 10% premium discount for the first year for AIA Vitality members.

AIA Voluntary Health Insurance Privilege Ultra Scheme is a Certified Plan under Voluntary Health Insurance Scheme (VHIS) with premiums that are eligible to be deducted from your annual taxable income. Taxpayer who is the policyholder can apply for a tax deduction^# of up to HKD8,000 per insured person, which the insured person of the Certified Plan should be the taxpayer himself or any specified relatives*, in each assessment year, and there is no cap on the number of specified relatives*. This way, you can enjoy superb medical cover that meets your needs, with tax deduction benefits.

^# Tax deductions is one of the allowable deductions from assessable income, it does not equate to a direct deduction from total tax payable. For details of tax deductions, please visit Inland Revenue Department (IRD) of HKSAR website and consult your tax and accounting advisors for tax advice.
^* Specified relatives are defined under Inland Revenue Ordinance (Chapter 112).
^{^} Fully covered or full cover shall mean no itemised benefit sublimit. Claim amount is subject to the benefit limits as set out in the benefit schedule, which include both the annual benefit limit and the lifetime benefit limit.

Please contact your financial planner or call AIA Customer Hotline for details.

This plan can only be purchased as a basic plan or as a rider.

AIA Voluntary Health Insurance Standard Scheme is a government-certified medical protection plan that provides essential medical cover, with premiums that are eligible to be deducted from your annual taxable income. You can apply for tax deduction^# of up to HKD8,000 per insured person per year, and there is no cap on the number of Voluntary Health Insurance Scheme policies that a taxpayer can use to claim tax deductions each year. This plan also rewards you with a no-claim discount on premium up to 15% if you make no claim, plus an instant 10% premium discount for the first year for AIA Vitality members embarking on their healthy-living journey. That way, you may choose to access private healthcare services for treatment when you need it – for you and your whole family's health and wellbeing.

Please contact your financial planner or call AIA Customer Hotline for details.

This plan can only be purchased as a basic plan or as a rider.

With quality medical protection as your safety net, you can chase your dreams with confidence. In addition to the essential medical cover required by Voluntary Health Insurance Scheme, AIA Voluntary Health Insurance Flexi Scheme also provides supplemental major medical benefits, personal medical case management services, network specialists service and more. What's more, lifetime renewal is guaranteed, with no annual benefit limit or lifetime benefit limit. With three plan options to choose from, you can budget according to your medical needs. This plan also includes a no-claim discount on premium of up to 15% if you make no claim, plus an instant 10% premium discount for the first year for AIA Vitality members embarking on their healthy-living journey.

AIA Voluntary Health Insurance Flexi Scheme is a government-certified medical protection plan with premiums that are eligible to be deducted from your annual taxable income. You can apply for a tax deduction^# of up to HKD8,000 per insured person per year, and there is no cap on the number of Voluntary Health Insurance Scheme policies that a taxpayer can use to claim tax deductions each year. This way, you can enjoy quality medical protection that meets your needs, with tax deduction^# benefits.

Please contact your financial planner or call AIA Customer Hotline for details.

AIA VOLUNTARY HEALTH INSURANCE STANDARD SCHEME (being the Standard Plan under Voluntary Health Insurance Scheme ("VHIS")) provides the basic standardised features for insured, while AIA VOLUNTARY HEALTH INSURANCE FLEXI SCHEME, and AIA VOLUNTARY HEALTH INSURANCE PRIVILEGE ULTRA SCHEME (being the Flexi Plan under VHIS) are those that generally provide all protection under a Standard Plan and at the same time provide enhanced protection for the insured.

We understand you want to have a stable guaranteed annuity income stream that you can rely on for your retirement. With AIA Deferred Annuity Plan 2 you can choose Annuity Payment Start Age for the annuitant (as the insured) to start receiving guaranteed portion of annuity income at age 50, 55, 60, 65, 70 or 75, and enjoy a regular annuity income stream for 10 years.

AIA Deferred Annuity Plan 2 is certified by the Insurance Authority as a qualifying deferred annuity policy where you can apply to deduct your contributions from your annual taxable income. This means if you are taxpayer in Hong Kong, you can apply for tax deduction of up to HK$60,000* per taxpayer each year which allows you to plan ahead to grow wealth for your retirement while also enjoying a tax deduction.

^* HK$60,000 is the maximum tax deductions per taxpayer per year for qualifying annuity premiums and MPF tax deductible voluntary contributions.

To encourage the working population to better prepare for their retirement, a new type of MPF voluntary contributions, Tax Deductible Voluntary Contributions ("TVC"), comes into effect in April 2019. Eligible members, including an employee member of a Registered Scheme, a self-employed person member of a Registered Scheme, a personal account holder of a Registered Scheme and a member of an MPF-exempted occupational retirement scheme (ORSO), can enjoy tax deductions by making contributions to their TVC account. For the 2019-20 year of assessment and each subsequent assessment year, the maximum tax-deductible amount is HK$60,000. This aggregate limit applies to both TVC and qualifying annuity premiums1.

¹As tax deduction amounts can vary according to different individuals' situation, for all Annuity Premiums and MPF Tax Deductible Voluntary Contributions deductions, please refer to the relevant Inland Revenue Ordinance rules and regulation. AIA HK is not providing tax or accounting advice. Please consult your own tax and accounting advisors for any tax advice.

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^{*Required fields}

Are you an existing customer?*

No Yes

Policy number (optional)

First Name*
Last Name*
What's your phone number?*
What's your email?*
Preferred Contact Method*
Preferred Language*

I agree to the relevant AIA Entity's use of my personal data for the above purposes in accordance with the Personal Information Collection Statement. I further consent to the relevant AIA Entity's use of my personal data provided above for the AIA Entity's financial planner to contact me.

Additional Info

campID

campName

Date of birth

PlanCode

ProdName

Assumptions

Family income consists of Hong Kong sourced employment income only. And the income is chargeable of Hong Kong salaries tax under section 8(1) and other relevant parts of the Inland Revenue Ordinance. Also the taxpayer does not receive any value of all places of residence provided by employer or associated corporation.
For married couple, the family income is equally earned by the couple. And the couple's income will be taxed jointly.
The mandatory contribution to the Mandatory Provident Fund (MPF) is estimated based on a full year contribution.
Assume the TVC and DA contributions are made in qualifying products. For married couple, each will make an equal amount of TVC contribution. And/or the taxpayer will purchase the DA products and the deduction of the DA premium will be shared with the spouse. Also, the tax deduction limit for TVC and DA in total is HK$60,000 each year per taxpayer.
All expense of self-education, elderly residential care expenses, home loan interest, domestic rents, approved charitable donations are not applicable.
None of the following allowance is applicable: dependent brother or sister, single parent, personal disability, disabled dependent.
Children aged 18 to 25 years old and being claimed for child allowance are either attending full-time education at university or other similar educational establishment, or due to physical or mental disability, unable to work.
The one-off tax reduction for the year is not considered in estimating the salaries tax payable.

Disclaimer

This tool is provided as a convenience to help you estimate your potential salaries tax liability for the year of assessment 2023/24. The information contained herein does not constitute tax advice and AIA makes no guarantee on the accuracy of the results of the estimates.
The results are general estimates only and (i) are based on the accuracy of the data you have entered, (ii) are based on assumptions that are believed to be reasonable, and (iii) are for general information purposes only and should not be relied on for advice.
This tool does not take into account any other factor outside the parameter of this tool that could be relevant to your particular situation. Thus your actual results may vary. You should seek tax planner and/ or professional advice before taking any action.
This tool is based on tax law and information available up to 2023-24 Budget - Tax Measures and the information is subject to subsequent change as well as the interpretation of the authorities.
AIA, or its affiliates, its officers, staff or representatives disclaim any and all representations, warranties or guarantees and assume no responsibility or liability for any losses, damages, claims, expenses suffered or incurred, or for any direct, indirect, special, incidental, exemplary, or consequential damages, including lost profits, arising from or related to the use of, reference to or reliance on this tool.

AIA Tax-Deductible Solutions Trio

Tax deduction tips

VHIS

Deferred Annuity & MPF TVC

Voluntary Health Insurance Scheme ("VHIS")

How can I enjoy tax deduction after applying for the AIA Voluntary Health Insurance Scheme

Does VHIS tax deduction apply to all AIA insurance products?

When can I apply for tax deduction after applying for AIA Voluntary Health Insurance Scheme?

What is the application process for VHIS tax deduction?

What documents do I need to submit to apply for VHIS tax deduction after applying for the AIA VHIS Plan?

Does the VHIS tax deduction overlap with other tax deductions?

If I have applied for multiple VHIS policies, can I enjoy the tax deduction of multiple policies at the same time?

Do you know what's VHIS?

Do you know what's so special about VHIS?

Do you know what's the premium for VHIS Certified Plans?

Which should you choose, the Standard Plan or the Flexi Plan?

If you've purchased medical insurance, can you migrate your existing policy to a VHIS product?

Do you know how to calculate the tax-deductible amount of VHIS?

Can you claim for tax deduction on premiums paid for your family members?

Deferred Annuity ("DA") & MPF Tax Deductible Voluntary Contributions ("MPF TVC")

Do you know what's MPF TVC?

Do you know what sets the existing Special Voluntary Contributions and the Employee Voluntary Contributions in Current Employment apart?

Do I need to set up another MPF account for Tax Deductible Voluntary Contributions?

Can I claim for tax deduction for annuity premiums?

Do you know what's the aggregate tax deduction limit for Tax Deductible Voluntary Contributions and Deferred Annuity?

Do you know when will the Tax Deductible Voluntary Contributions come into effect?

Can I set up a Tax Deductible Voluntary Contributions account?

When can I withdraw the accrued benefits from my Tax Deductible Voluntary Contributions account?

VHIS

Deferred Annuity

MPF TVC

AIA Voluntary Health Insurance SelectWise Scheme

This plan can be purchased as a basic plan or as a rider.

AIA Voluntary Health Insurance Privilege Ultra Scheme

This plan can be purchased as a basic plan or as a rider.

AIA Voluntary Health Insurance Standard Scheme

This plan can only be purchased as a basic plan or as a rider.

AIA Voluntary Health Insurance Flexi Scheme

This plan can only be purchased as a basic plan or as a rider.

AIA Deferred Annuity Plan 2

MPF Tax Deductible Voluntary Contributions ("TVC")

Estimate how much you can save

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