Dependent parent allowance: basic, additional and living-together rules
The dependent parent (or grandparent) allowance is an allowance under salaries tax and personal assessment. If you support a parent, grandparent or great-grandparent aged 60 or above, each qualifies for a basic allowance of HK$55,000; if that elder resides with you throughout the year without paying full cost, you get a further HK$55,000 — up to HK$110,000 per dependant per year. For an elder aged 55 to under 60, the amounts are halved. (2025/26 year of assessment figures; follow the latest Inland Revenue Department announcements.)
What is the dependent parent/grandparent allowance, and how much?
This is an allowance for supporting an elder relative — a parent, grandparent or great-grandparent of you or your spouse. The amount depends on the dependant's age: HK$55,000 basic each for age 60 or above, and HK$27,500 basic each for age 55 to under 60. If the elder resides with you continuously throughout the year without paying full cost, you get an additional allowance of the same amount on top — up to HK$110,000 each for those aged 60+. The allowance reduces your assessable income; it is not a direct cash rebate, and how much tax you save depends on your marginal rate. Fold it into your overall planning for parents for a clearer picture.
| Dependant's age | Basic allowance | Additional (lives with you all year) | Max per dependant / year |
|---|---|---|---|
| 60 or above | HK$55,000 | HK$55,000 | HK$110,000 |
| 55 to under 60 | HK$27,500 | HK$27,500 | HK$55,000 |
2025/26 year of assessment figures; amounts and eligibility follow the latest IRD announcements.
Basic vs additional (living-together) allowance
- Basic allowance: available for each qualifying elder once the maintenance conditions (below) are met, whether or not they live with you.
- Additional allowance: requires the elder to reside with you continuously throughout the whole year of assessment, without paying full cost, giving a second amount equal to the basic allowance.
- One plus one: up to HK$110,000 each for a co-resident elder aged 60+, and up to HK$55,000 each for age 55 to under 60.
- Multiple elders: you may claim for more than one qualifying elder, but no single elder may be claimed by more than one family member at the same time.
The meaning of 'residing with you' and 'without paying full cost', and the amounts, follow the latest IRD announcements.
Eligibility and conditions
To claim the basic allowance for an elder, the dependant must be ordinarily resident in Hong Kong, aged 55 or above, and meet one of the maintenance conditions below. To also claim the additional allowance, the stricter 'lives with you all year' requirement applies.
- Living together: the elder resided with you, otherwise than for full valuable consideration, continuously for at least 6 months in the year; or
- Financial support: you or your spouse contributed at least HK$12,000 towards the elder's maintenance in the year of assessment.
- Additional allowance also needs: the elder resided with you continuously throughout the whole year without paying full cost (not just 6 months).
The dependant must be ordinarily resident in Hong Kong; detailed eligibility and residence definitions follow the latest IRD announcements.
Elderly residential care deduction: the alternative
If your parent lives in a residential care home, you can instead claim the elderly residential care expenses deduction on the care fees paid. Note: for the same parent you cannot claim both this deduction and the dependent parent allowance — you must choose one, so compare which is more beneficial. This deduction has an annual cap, which follows the latest IRD announcements. If you are choosing a home or comparing costs, see choosing a care home and its cost; for home-based care, see community care service vouchers, and plan your parent's healthcare alongside.
For the same parent, the allowance and the residential care deduction cannot both be claimed; the cap follows the latest IRD announcements.
How to claim the dependent parent allowance at tax time
- Confirm eligibilityCheck the dependant's age, whether they are ordinarily resident in Hong Kong, and whether they meet the '6 months living together without paying full cost' or 'HK$12,000 annual support' condition.
- Enter it on the tax returnOn the individual tax return (BIR60), fill in each dependant's name, identity card number, relationship to you, age, and whether they lived with you during the year.
- Separate basic from additionalIf the elder resided with you continuously throughout the whole year without paying full cost, remember to also claim the additional allowance, not just the basic one.
- Coordinate among the familyA single elder may only be claimed by one family member; agree beforehand with siblings on who should claim for the best outcome.
- Keep proof of supportYou need not submit proofs with the return, but keep records of remittances, co-residence and the like for a period in case the IRD reviews your claim.
This outlines a general filing flow; the exact method and documents follow the latest IRD announcements.
Common pitfalls and things to watch
- Either/or: for the same elder you can claim either the allowance or the elderly residential care deduction, not both.
- Competing claims: no single elder may be claimed by more than one family member at once — siblings must coordinate, or the IRD will follow up.
- 'Without paying full cost': if the elder pays the full cost of living with you, or the 6-month co-residence / HK$12,000 support threshold is not met, they may not qualify.
- Under the age threshold: a parent or grandparent under 55 generally does not qualify.
- Allowance vs tax saved: the allowance reduces assessable income; what you actually save depends on your marginal rate — the same 'deduction' idea as the tax-saving trio.
General education only, not personalised tax or financial advice; amounts and eligibility follow the latest IRD announcements. For analysis around your parent's retirement arrangements and family situation, see how we help.
Sources
The official information cited above can be verified at the sources below; the latest official publication always prevails.
Related reading
Frequently asked questions
How much is the dependent parent allowance?
For 2025/26, supporting a parent, grandparent or great-grandparent aged 60 or above gives a basic allowance of HK$55,000 each; for age 55 to under 60 it is HK$27,500 each. Amounts follow the latest IRD announcements.
How do I get the additional allowance?
The elder must reside with you continuously throughout the whole year of assessment without paying full cost; this adds a second amount equal to the basic allowance, so those aged 60+ can reach up to HK$110,000 each.
Can I get a deduction for a parent who doesn't live with me?
Yes. As long as you or your spouse contributed at least HK$12,000 towards the elder's maintenance in the year, you can claim the basic allowance even without co-residence; but without living together all year you cannot claim the additional allowance.
Can siblings claim for the same parent at the same time?
No. A single elder may only be claimed by one family member; agree in advance on who — usually whoever's income or tax rate makes it most beneficial.
Parent in a care home: allowance or residential care deduction?
For the same parent you must pick one, so compare which is better. The residential care deduction is based on care fees paid and has an annual cap; the allowance is a fixed amount. Both caps follow the latest IRD announcements.
Is the allowance the same as the tax I save?
No. The allowance is an amount deducted from your assessable income; how much tax you actually save depends on your marginal rate — it is not a direct refund of the allowance.
Book a retirement planning consultation
An advisor helps you integrate MPF, annuities, insurance and cash flow.