### Inland Revenue Ordinance 《稅務條例》

16AA. Mandatory contributions in self-employment cases allowable as a deduction*
(1) Subject to subsection (2), where a person carrying on a trade, profession or business in Hong Kong as a sole proprietor or as a partner in a partnership pays any mandatory contributions in the basis period for any year of assessment in respect of any liability of himself to pay such contributions as a self-employed person under the Mandatory Provident Fund Schemes Ordinance (Cap. 485), the payment shall be deemed to be an expense wholly and exclusively incurred in the production of the profits of that trade, profession or business chargeable to tax under this Part and shall be allowed as a deduction from such profits for that year of assessment.
(2) A deduction shall not be allowable to a person under subsection (1) for any year of assessment—
(a) in respect of any sum which is allowable as a deduction under any other sections of this Part or section 26G;
(b) in excess of the amount specified in Schedule 3B in relation to that year of assessment, as reduced by the amount of any sum which is allowable to that person as a deduction under any other sections of this Part or section 26G.
(Added 31 of 1998 s. 9) Editorial Note:
*Section 16AA applies in relation to the year of assessment commencing on 1 April 2000 and to all subsequent years of assessment. (31 of 1998 s. 2(2); L.N. 175 of 2000)

16B. Expenditures on R&D activities
(1) This section applies despite section 17.
(2) In ascertaining the profits from a trade, profession or business in respect of which a person is chargeable to tax under this Part for a year of assessment, a deduction in relation to R&D activities is to be allowed under this section for payments made, and other expenditures incurred, by the person during the basis period for the year of assessment.
(3) The total amount of deduction to be allowed under this section is to be determined in accordance with Schedule 45.
(4) However, no deduction is to be allowed under this section for an amount that is allowable as a deduction apart from this section.
(5) The proceeds of sale of any plant or machinery for, and rights generated from, R&D activities are to be treated as a trading receipt in accordance with Schedule 45.
(6) In this section—
R&D activity (研發活動) has the meaning given by section 2 of Schedule 45.
(Replaced 29 of 2018 s. 7)

### Inland Revenue Ordinance 《稅務條例》

16C. Payments for technical education
(1) Notwithstanding anything in section 17, where a person carrying on a trade, profession or business in Hong Kong makes any payment to be used for the purposes of technical education related to that trade, profession or business at any university, university college, technical college or other similar institution which is approved in writing for the purposes of this section by the Commissioner (being an amount which is not otherwise allowable as a deduction under this Ordinance), the payment shall be deducted as an expense in ascertaining the profits from that trade, profession or business for the year of assessment in the basis period of which the payment was made. (Amended 7 of 1986 s. 12; 24 of 1996 s. 6)
(2) For the purposes of this section, technical education shall be deemed to be related to a trade, profession or business, if, and only if, it is technical education of a kind specially requisite for persons employed in the class of trade, profession or business to which that trade, profession or business belongs.
(3) An approval for the purposes of subsection (1) may—
(a) operate as from a date, whether before or after the date of approval, specified in the instrument of approval; and
(b) be withdrawn at any time.
(Added 35 of 1965 s. 10. Amended 32 of 1998 s. 8)

### Inland Revenue Ordinance 《稅務條例》

16D. Approved charitable donations (Part 4)
(Amended 21 of 2008 s. 3)
(1) Subject to subsection (2), a person chargeable to tax under this Part may deduct the aggregate of approved charitable donations made by that person in the basis period for a year of assessment, if such aggregate is not less than $100, from what would otherwise have been the assessable profits of such person for that year of assessment.
(2) A person shall not be entitled under subsection (1) to deduct— (Amended 21 of 2008 s. 3)
(a) for any year of assessment, any sum which is allowable as a deduction under section 16, 16B, or 16C; (Amended 56 of 1993 s. 11; 31 of 1998 s. 10; 21 of 2008 s. 3)
(aa) for any year of assessment, any sum which is allowable as a deduction under Part 4A; (Added 31 of 1998 s. 10. Amended 21 of 2008 s. 3)
(b) for any year of assessment up to and including the year of assessment commencing on 1 April 2002, a sum in excess of 10% of the balance of that person’s assessable profits after making any adjustment for the allowances and charges provided under Part 6; (Replaced 21 of 2008 s. 3)
(c) for the year of assessment commencing on 1 April 2003 or any subsequent year of assessment up to and including the year of assessment commencing on 1 April 2007, a sum in excess of 25% of the balance of that person’s assessable profits after making any adjustment for the allowances and charges provided under Part 6; (Added 21 of 2008 s. 3)
(d) for any year of assessment commencing on or after 1 April 2008, a sum in excess of 35% of the balance of that person’s assessable profits after making any adjustment for the allowances and charges provided under Part 6. (Added 21 of 2008 s. 3)
(Added 7 of 1975 s. 10. Amended E.R. 1 of 2012)

### Inland Revenue Ordinance 《稅務條例》

16M. Interpretation of Subdivision 7A of Division 4 of Part 4
(1) In this Subdivision—
assignment term (指配期), in relation to the use of the radio spectrum that falls within any frequency band pursuant to an assignment under Cap. 106, means the period for which a person (including a person to whom the frequency band is unilaterally transferred or transferred on a swap) may so use the radio spectrum;
Cap. 106 (《第106章》) means the Telecommunications Ordinance (Cap. 106);
Communications Authority (通訊事務管理局) means the Communications Authority established by section 3 of the Communications Authority Ordinance (Cap. 616);
frequency band (頻帶) includes any frequencies or combination of frequencies;
radio spectrum (無線電頻譜) has the meaning given by section 2(1) of Cap. 106;
spectrum utilization fee (頻譜使用費) means a fee (however described) payable under section 32I of Cap. 106 for the use of the radio spectrum (including, for a payment of such a fee by instalments, any increment amount that is payable under or pursuant to Cap. 106 in respect of any of the instalments).
(2) For the purposes of this Subdivision—
(a) the use of the radio spectrum that falls within a frequency band assigned to a person (Person A