Personal relief 2017

Loh Boon How, CA
PersonalReliefs&Rates

Personal Reliefs
Income Tax Act 1967
Sec 46 – Deduction for personal
Reliefs,
46(1)(p) – Lifestyle relief
B. H. Loh & Associates 2

 Every taxpayer will automatically entitled a reliefs
RM9,000.00,
 Regardless whether the spouse separate
assessment or combine assessment,
 The objective is to reduce the taxpayer burden.
Personal Reliefs

Disability Reliefs
(Further Deduction)
 If the taxpayer is a disability, he / she will entitle a
further reliefs RM6,000.00,
 Therefore,
Description RM
Personal reliefs 9,000.00
Disability reliefs 6,000.00
Total 15,000.00

Basic Supportive Equipment
 If the taxpayer incurred the supportive equipment, he
/ she will entitle for max relief of RM6,000.00,
 The supportive equipment included wheelchair and
hearing aids.

Lifestyle Relief
The lifestyle including :
1) Purchase of printed daily newspaper,
2) Purchase of smartphone or tablet,
3) Internet subscription
4) Gymnasium membership fee
The max relief RM2,500.00

Tertiary Education Reliefs
 If the taxpayer who has incurring fees for pursuing
the tertiary education will entitle a max reliefs of
RM7,000.00,
 Those tertiary education such as : technical, vocation,
industrial, scientific, technological, law, accounting,
Islamic financing relevance skills or qualifications at
tertiary level or any course study at post graduate
level.

 Every employee’s who contributed to Social Security
Organisation (Socso) scheme, will entitle to a relief of
RM250.00
Socso Reliefs

Spouse Reliefs
Income Tax Act 1967
Sec 45A(2) – Husband relief,
Sec 47(6) – Wife or former wife relief,
Sec 49 – Husband and wife living
together

Spouse Reliefs
 If the spouse of the taxpayer has not source of
income, taxpayer will entitle a reliefs of RM4,000.00,
 This reliefs grant automatically and need not to apply,
with the condition if the spouse who stay together,
 If the spouse who has divorced, where the taxpayer
paid for an alimony, then the taxpayer will also
entitle.

Spouse Reliefs
 If the spouse (whether husband or wife) who has
income derived from outside Malaysia more that the
amount of relief (RM4,000.00), then the taxpayer
shall not entitle to claim the spouse relief.
 However, if the spouse who is disable person, then
the taxpayer will be entitle to claim such as relief.

Spouse Disability Reliefs
(Further Deduction)
 If the spouse of the taxpayer is a disability, he / she
will entitle a further reliefs RM3,500.00.
 Therefore,
Description RM
Spouse reliefs 4,000.00
Spouse disability reliefs 3,500.00
Total 7,500.00

 If the taxpayer incurred the expenses for the spouse,
the supportive equipment will entitle a max relief of
RM6,000.00,
hearing aids.

Children Reliefs
Income Tax Act, 1967
Sec 48 – Deduction For Child,
Sec 46(1)(r) – Child care fees,
Sec 46(1)(q) – Breastfeeding
equipment,

Child Reliefs
 Child below 18 years – unmarried and study in the
school, thus every child will entitle a reliefs of
RM2,000.00,
 Child above 18 years – unmarried and study either in
local or oversea higher institution, thus every child
will entitle a reliefs of RM8,000.00,
 If the spouse who elect for separate assessment,
each of them entitle half of every child reliefs,

Child Disability Reliefs
 If the child of the taxpayer is a disability, he / she will
entitle a reliefs RM6,000.00,
 If the disability child who was pursuing a tertiary
education, the taxpayer who will entitle a reliefs of
RM8,000.00.

 If the taxpayer incurred for their children, the
supportive equipment will entitle a max relief
RM6,000.00,
hearing aids.

Skim Simpanan Pendidikan Nasional
 If the taxpayer who deposit for their children
education fund into Skim Simpanan Pendidikan
Nasional, will entitle a max relief of RM6,000.00,
 The taxpayer will enjoy free takaful insurance for
RM1,000.00.

 If working women (for female taxpayer) who is incur
the purchase of breastfeeding equipment will be
entitle to max RM1,000.00 relief.
 The equipment can be in complete set or separate
parts,
 The child from infant to 2 years old and can be
claimed once in every 2 years.
Breastfeeding Equipment

 The either parent (taxpayer or the spouse) could
claims a max RM1,000.00 relief on the early childhood
education cost for their child,
 The child must be below 6 years old,
 Child care centres that registered under the Child
Care Centre Act 1984 or Education Act 1996.
Child Care And Kindergartens Fees

Parent Reliefs
Sec 46(1)(o) Income Tax Act 1967 –
Deduction for parents

Parents Medical Reliefs
 If the taxpayer who paid for parents medical fee or
carer, will entitle a max relief of RM5,000.00,
 For the parental carer :
a) The parent should be regular treatment certified by
a qualified medical doctor,
b) A official receipt as a proof for claiming tax reliefs,
c) The carer must not the taxpayer or the spouse or
child of the taxpayer.

 If the taxpayer incurred for their parents, the
supportive equipment will entitle a max relief of
RM6,000.00,
hearing aids.

 The parent will be given RM1,500.00 each for a
mother or father.
 Conditions :
1) Taxpayer not claim the relief for the expenses
incurred on medical treatment and care,
2) Parent are legitimate natural parents and foster
parents,
3) Parents aged 60 years and above,
Parental Care Relief

(iv) Parents are resident in Malaysia in the current year
of assessment,
(v) Parents have an annual income not exceeding
RM24,000.00 per annum for each year.
Parental Care Relief

Medical And
Financial Related
Reliefs
Sec 49, Income Tax Act 1967 –
Deduction for insurance premium.
Sec 49(1)(d), Income Tax Act 1967 –
Deduction for Private Retirement
Scheme and Annuity Premium.

Medical Fee Reliefs
 If the taxpayer incurred medical fee for themselves,
spouse and children on critical disease will entitle a
max relief of RM6,000.00,
 Those critical diseases such as heart disease, kidney
failure, Parkinson disease, stroke etc,
 The medical relief also include the medical screening
fee for a max of RM500.00. (Inclusive RM6,000.00)

Medical And Education
Insurance Reliefs
 If the taxpayer who has contributed the medical and
education insurance will entitle a max relief of
RM3,000.00,
 The beneficial could be taxpayer, the spouse or
children.

Life Insurance And
An Approved Fund
 If the taxpayer who has contributed the life insurance
and an approved fund will entitle a max relief of
RM6,000.00,
 The beneficial could be the taxpayer or the spouse.

PRS / Annuity Premium Reliefs
 If the taxpayer who has contributed the PRS / annuity
premium will entitle a max relief of RM3,000.00,
 The withdrawal before the age of 55 years, the
taxpayer will be subject the withholding tax of 8%.
Unless the contributor :
a) Death,
b) Permanently leaving Malaysia.

 A one-off incentive of RM1,000.00 for a minimum
cumulative investment of RM1,000.00 within 2 years,
 The taxpayer who are currently 20 – 30 years,
 The incentive within the period 1/1/2017 – 31/12/2018.
PRS / Annuity Premium Reliefs

Tax Rates And
Calendar
Sch 1, Income Tax Act 1967 – Personal
tax rate.

33
Tax Rates For Individual Taxpayer
B. H. Loh & Associates
Chargeable income Tax rate %
1 - 5,000 0
5,001 – 20,000 1
20,001 – 35,000 5
35,001 – 50,000 10
50,001 -70,000 16
70,001 - 100,000 21
100,001 – 250,000 24
250,001 – 400,000 24.5
400,001 – 600,000 25
600,001 – 1,000,000 26
Exceeding 1,000,000 28

Tax Calendar
Residence status Source of income Form Deadline
Residence Business B 30 June
Employment BE 30 April
Knowledge worker BT 30 June
Non-residence Business M 30 June
Knowledge worker MT 30 June

Thank You
B. H. Loh & Associates
Address :
6761, 2nd Floor,
Jalan Kampung Gajah,
12200 Butterworth, Penang.
H/P No. : 016-4893382
Email : bhlohass@gmail.com
Web-site : www.bhloh.com.my

Personal relief 2017

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Personal relief 2017