Have you ever felt like you are getting by by the skin of your teeth, and as if that’s not overwhelming enough, you find in your letterbox that big green envelope from the Inland Revenue Department (IRD)? Well, the tax season does not have to be that ominous.
Edwin Cheung, Head of Business Development at Cigna, shares with us two tips to comfortably make the tax season a breeze.
Salaries Tax Computation
This tax calculator available on the IRD website estimates your liability under salaries tax and allows you to work out your spending in the coming months. For instance, your estimated tax liability is HKD 9,000 and you have 12 months before tax payment. If you could put away HKD 90 every month in these 12 months, you won’t be too stressed out when the tax is due.
Electronic Tax Reserve Certificates
This "Save for Tax" scheme helps taxpayers build up funds for tax payment. These certificates can be purchased through monthly bank autopay, over the phone or Internet, via ATMs and the Auto Tax Payment Service. And here’s the icing on the cake — these certificates will earn interest when redeemed to pay the holder's tax!
Financial wellness is just as important as physical health. Plan ahead and take good care of your finances just as you would for your body.