Filing for your income tax relief can be a pain in the ass – especially if you’re easily daunted by numbers. It’s never too early to be prepared for things like that, since when the tax filing period comes by next year, you’ll be good and ready to go. For the Malaysians – here’s a handy comprehensive guide to get you started on maximising your income tax relief. By the end of it, you’ll be a tax expert!

Haven’t made enough purchases to maximise your tax relief? Check out the final Year End Sale 2020 – and get Cashback while you’re at it!

List of Tax Reliefs

1. Common Tax Reliefs

There are lots of income taxes you can claim, but there are a few important ones that you are most likely eligible for. 

Lifestyle and Domestic Travel are the most important expenditures that can help maximise your tax relief. Haven’t made enough purchases yet this year? Check out the Year End Sale for the best deals all around town!

TypeTermsAmount

Lifestyle

  • Books journals, magazines, printed newspaper, etc
  • Personal computer, smartphone, tablet
  • Sports equipment (for activities defined under Sports Development Act 1997, excluding motorised two-wheel bikes and gym memberships)
  • Monthly bill for internet subscription
  • RM2,500 
  • + RM2,500 for PC, smartphone, tablet from 1/6/2020 to 31/12/2020

Domestic Travel

  • Accommodation expenses at registered premises with Ministry of Tourism, Arts and Culture Malaysia
  • Tourist attractions entrance fees
  • RM1,000 (from 1/3/2020 to 31/12/2021)

EPF (KWSP) contribution

  • Includes those not through salary deduction
  • RM4,000

Contribution to SOCSO (Social Security Organisation)

-

  • RM250

2. Tax Reliefs For Parents

For those taking care of your parents, you can also claim the following expenses.

TypeTermsAmount

Medical Expenses (Parents)

  • Treatment 
  • Special needs
  • RM5,000
  • or RM1,500 (1 mother only)
  • or RM1,500 (1 father only)

3. Tax Reliefs For Children

For those with little ones at home – there are multiple tax reliefs you might be eligible for. Here are some of the most common types for your reference.

TypeTermsAmount

Education for unmarried Child

  • Child is 18 years old 
  • and above
  • Full-time education
  • A-level, certificate, matriculation, preparatory courses
  • RM2,000 each

Common child expenditures

  • Books journals, magazines, printed newspaper, etc for child
  • Personal computer, smartphone, tablet for child
  • Sports equipment (for activities defined under Sports Development Act 1997, excluding motorised two-wheel bikes and gym memberships) for child
  • RM2,500 (including self & spouse)

Other child expenditures

  • Breastfeeding equipment
  • Examples: breast pump kit, ice pack, breast milk collection/storage equipment
  • RM1,000

Insurance premium

  • For education of medical benefit
  • Including not through salary deduction
  • RM3,000

Child care expenditures

  • Child care fees to Child Care Centre
  • Or fees to a Kindergarten
  • RM2,000

Maximise Your Income Tax Relief With The Year-End Sale

2020 is coming to an end real soon. However, this last stretch is also the best time for you to make any purchases you’ve been eyeing at – especially for lifestyle and domestic travel. Look out for ShopBack’s Year End Sale and snag the best deals for more savings!

No idea what to buy, or where to go for your next local getaway? Here are some ideas you get you inspired!

Lifestyle

Staycation