[Peachstyle]

Provisional tax =

What is this? How is it calculated? What's the point?

Thanks

[KnowItAll]

Evens out ...

Calculation: March 06-April 07
Billed in: Nov 07
Paid in Jan / March: 08

By that time you've had close to 2 years worth of salary accumulated.

[cendrillon]

Why do they charge you provisional tax in March, which is based on an estimate (made 1 year earlier) of your salary until March. I mean, why estimate something that happened in the past?

Wouldn't it be easier for them to use your actual income statement in March, and charge you tax in April?

Not that I'm complaining, I love tax in HK, just seems kinda odd