Tax Relief And You (Part I)

Introduction

Once a year tax filing season are around the corner, are you miserable and doubt on your tax filing? Calm down, let us guide you through.

Personal

Personal relief (RM9,000)

If the taxpayer who file tax return will automatically grant an personal relief regardless tax payable or refund.

Tertiary education (Max RM7,000)

Fee incurred on acquiring knowledge from technical, scientific, technological, law, accounting, Islamic financing, skills or qualification on tertiary education. Tertiary education including Master and Doctorate degree. However those who receive scholarship will not eligible to claim such as a relief.

Medical expenses (Max RM6,000)

The medical expenses cover the critical diseases such as, cancer, heart attack, liver, hepatitis, diabetes, skin diseases, major organ transplant, HIV & AIDs and more. The relief also share with spouse, children and parent. Include the medical expenses medical screening services which is max amount RM500.00 and the balance RM5,500 for medical expenses.

Life insurance and EPF contribution (Max RM6,000)

Tax payer who contribute Employee Provident Fund (EPF) and any life insurance premium will be entitle to relief. This relief can combined with spouse if the spouse choose to combine assessment.

Private Retirement Scheme (Max RM3,000)

Since the EPF not enough to cater the retirement need, therefore, Malaysia Government encourage taxpayer contribute the Private Retirement Scheme (PRS) which approve by Security Commission. The contribution to PRS fund can be claim to combine with spouse if the spouse choose to combine assessment.

Medical and education premium (Max RM3,000)

Education and medical premium contribute for taxpayer, spouse and child. The relief applicable for the amount paid by spouse under the combined assessment.

Conclusion

Obviously, if the taxpayer carefully planning tax relief, they will save a lot of tax payment.

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