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Ombudsman flags eTAX submission errors as 33,019 cases face penalties
Hong Kong said 489,425 taxpayers attempted eTAX submissions via iAM Smart between May 2, 2025 and Jan. 31, 2026, and the ombudsman found many misread the signing flow as completion.
Hong Kong’s Office of the Ombudsman found that ambiguous instructions in the government’s eTAX system led more than 33,000 taxpayers to fail to complete electronic tax return submissions, with nearly 5,200 receiving penalty notices and two cases prosecuted, according to SCMP Economy.
The report said unclear guidance on the eTAX submission and signature interface caused users to believe signing through the “iAM Smart” platform completed their filing, even though they still needed to return to eTAX until a confirmation page appeared. Between May 2 last year and Jan. 31 this year, 489,425 taxpayers attempted to submit electronic returns using a digital signature via iAM Smart, and 33,019 did not finish the submission process.
SCMP Economy also reported that about 14,000 taxpayers successfully resubmitted on the same day as their initial attempt. Affected taxpayer Dr Luk Che-chung, a former Hospital Authority chief executive for Hong Kong East, urged the government to learn from the incident.
Under Hong Kong law, SCMP Economy noted, taxpayers must file within one month of issue so the Inland Revenue Department can prepare assessments and approve deductions. The ombudsman released the findings in a report published on Monday.