A total of $127.7 billion in tax was collected in 2004-05, up $21.5 billion on the previous year, Commissioner of Inland Revenue Alice Lau says. Total earnings and profits tax for the year was $96.7 billion, up 20%.

Mrs Lau attributed the rise to the economic rebound and an increase in the tax rate for corporate profits.

The amount of betting duty rose from $11.6 billion to $12 billion, while stamp duty rose from $11.2 billion to $15.8 billion.

Individual Tax Return notices for 2004-05 have been issued and should be submitted by June 3, or for sole proprietors of unincorporated businesses, by August 3.

"To enable taxpayers to enjoy the two new allowances proposed in the 2005 Budget for dependent parents or grandparents aged 55 to 59, a special message is printed on the top right-hand corner of the return. Taxpayers are reminded to give details of dependent parents or grandparents who will have reached 55 but be under 60 on March 31, 2006 in Part 8.4 of the return. Upon enactment of the law, their claims will be dealt with in computing the 2005-06 provisional tax liabilities," Mrs Lau said.

Return enquiries can be made on 187 8022 or 187 8222 from 8.30am to 7pm.

E-filing progress

E-filing system performance has been upgraded, its screen flow redesigned and over 40 new functions and improvements introduced from feedback garnered from 20,000 users.

"With the improvements, I sincerely hope [people] will give e-filing a try. They simply need an e-certificate or an e-tax password. Just apply online or through our hotline 183 2033 for an e-tax password and enjoy the enhanced service," Mrs Lau said.