The Government today announced in the Gazette that a tax deduction for assisted reproductive (AR) service expenses came into force today.

The deduction, under salaries tax and personal assessment, is applicable to qualifying AR service expenses paid starting from the 2024/25 year of assessment. All AR services received for medical reasons are considered as qualifying AR services.

Two categories of persons are eligible:

(1) infertile couples or people under specified circumstances, which individuals undergoing sex selection of embryos to avoid sex-linked genetic diseases, and single women continuing to receive a procedure where gametes were, or an embryo was, placed in their body, pursuant to the same procedure taking place when they were party to a marriage; and

(2) patients who may be rendered infertile as a result of chemotherapy, radiotherapy, surgery, or other medical treatment.

The Government elaborated that expenses paid for qualifying AR services by a taxpayer, by a taxpayer’s spouse (who is not living apart from the taxpayer), or by both, are allowable deductions.

The maximum deduction allowable for a year of assessment is $100,000. For married taxpayers, the maximum deduction for both taxpayer and spouse is $100,000 in total.

The Government reminded taxpayers that the Inland Revenue Department may request them to provide the Proof of Qualifying AR Service Expenses in support of any deduction claimed.

Citizens who have paid for qualifying AR service expenses on or after April 1 last year and who intend to claim tax deductions for such expenses may obtain the proof retrospectively from centres holding an artificial insemination by husband licence, a treatment licence or a storage licence.