Tax season will be coming up soon for Malaysians making an income of at least RM34,000 for the Year of Assessment (YA) 2022.
Those who have received their Income Tax Return (EA) Form can do this on the ezHASiL portal by logging in or registering for the first time.
Some amendments in tax reliefs have been made for YA 2022, and there are new additions introduced too. Claiming these incentives can help you lower your tax rate and pay less in overall taxes.
With that, here’s LHDN’s full list of tax reliefs for YA 2022.
Self, parents, and spouse
1. Automatic individual relief: RM9,000
Just by filling in the LHDN e-Filing form, you will be eligible for an automatic tax deduction of RM9,000. You’ll notice that this will be instantly greyed out on your form without you needing to do anything.
2. Further education fees (self): ≤ RM7,000
A tax relief up to a maximum of RM7,000 is claimable if you’re paying for your own further education at a recognised higher learning institution in Malaysia.
Here are the criteria:
- Any course or study up to tertiary level other than a degree at Masters or Doctorate level, undertaken for the purpose of acquiring legal, accounting, Islamic financing, technical, vocational, industrial, scientific, or technological qualification or skill;
- Any course of study for a degree at Masters or Doctorate level undertaken for the purpose of acquiring any qualification or skill;
- Any course of study undertaken for the purposes of upskilling and self-enhancement, limited to RM2,000 (until YA 2023).
3. Spouses and alimonies: RM4,000
This relief is claimable only if your spouse has no source of income, or if they elect for a joint assessment in your name. If your spouse has a gross income exceeding RM4,000 derived from sources outside of Malaysia, you cannot claim this.
Husbands who are paying alimony to a former wife can claim this relief for the amount of alimony paid, or up to a limit of RM4,000.
You’re entitled to this relief only if your spouse has no source or income, or if he/she elects for a joint assessment in your name. You cannot claim this if your spouse has a gross income exceeding RM4,000 derived from sources outside of Malaysia.
For husbands paying alimony to an ex-wife, the deduction is allowed for the amount of alimony paid or up to a limit of RM4,000. Only formal alimony agreements qualify for this tax relief.
4. Medical expenses for parents: ≤ RM8,000
A maximum of RM8,000 can be claimed if you paid for expenses on medical treatment, special needs, or carer expenses for parents. This will need to be evidenced by medical certifications.
5. Medical expenses for self, spouse, or child: ≤ RM8,000
You can claim up to RM8,000 for yourself, your spouse, or children undergoing medical treatments for serious or difficult-to-treat diseases. These illnesses include AIDS, Multiple Sclerosis, kidney failure, Alzheimer’s Disease, chronic liver disease, heart attack, or anything that requires a major organ transplant, etc.
Fertility treatments like IVF or IUI undergone by married couples are also claimable under this category.
Furthermore, up to RM1,000 in relief is dedicated to a full medical examination for yourself, spouse, or child. Such checkups include COVID-19 screenings, vaccination expenses, and mental health examinations or consultations.
6. Equipment for disabled self, spouse, child, or parent: ≤ RM6,000
If you purchased supporting equipment for yourself (as a disabled person) or for a disabled spouse, child, or parent, you can claim up to a maximum of RM6,000.
Disabled individuals would need to be registered with the Department of Social Welfare (JKM) and be certified as OKU.
7. Disabled individual (self): RM6,000
Disabled persons registered under JKM are eligible for a further deduction of RM6,000 under this relief.
8. Disabled spouse: RM5,000
Those with a disabled spouse are entitled to an RM5,000 deduction. This is an increase from YA 2020’s RM3,500 in this category, and remains the same as YA 2021’s amount.
9. Disabled children
Disabled child relief: RM6,000
A tax relief of RM6,000 is eligible for parents with an unmarried child who’s physically or mentally disabled, regardless of their age. Children must be certified by JKM as a disabled person.
Disabled child aged 18 and above pursuing higher education: RM14,000
An additional exemption of RM14,000 is applicable for an unmarried physically/mentally disabled child (over 18 years of age) receiving a full-time education at a higher learning institution, under the conditions of:
- Pursuing a diploma and above in Malaysia; or
- Pursuing a degree level and above outside Malaysia; or
- Serving under articles or indentures in a trade or profession in Malaysia.
10. Lifestyle purchases for self, spouse, or child: ≤ RM2,500
A tax relief of up to RM2,500 is deductible for purchases of lifestyle equipment for personal use by yourself, your spouse, or children. Items include:
- Purchase or subscription of books, journals, magazines, newspapers, or other similar publications (in the form of hardcopy or electronic) for the purpose of enhancing knowledge;
- Purchase of personal computer, smartphone, or tablet;
- Purchase of sports equipment and gym memberships; and
- Internet subscription
11. Additional lifestyle purchases
Extra relief for tech: ≤ RM2,500
There is an additional relief (on top of the lifestyle purchases relief) for purchases of a personal computer, smartphone, or tablet, for up to RM2,500.
Extra relief for sports activities: ≤ RM500
An extra relief of up to RM500 is claimable for expenditures related to the cost of purchasing sports equipment, entry/rental fees for sports facilities, and registration fees for sports competitions.
12. Breastfeeding equipment: ≤ RM1,000
Mothers who are breastfeeding a child aged two years and below can deduct up to RM1,000 in relief if they’ve purchased personal breastfeeding equipment.
This deduction can only be made once every two years of assessment.
13. Childcare and kindergarten fees: ≤ RM3,000
Parents with children in daycare centres or kindergartens can claim a tax relief limited to RM3,000.
If the couple chooses to file separately, this deduction can only be claimed by either the child’s mother or father. This relief is extended to YA 2024.
14. Skim Simpanan Pendidikan Nasional (SSPN) 1Malaysia: ≤ RM8,000
SSPN (Skim Simpanan Pendidikan Nasional) is a savings plan that encourages parents to invest in their children’s higher education.
Parents who make a deposit into the SSPN 1Malaysia account established under Perbadanan Tabung Pendidikan Tinggi Nasional Act 1997 are eligible for a relief of up to RM8,000 for their annual net savings (total deposit in 2022 minus total withdrawal in 2022). This relief is extended until YA 2024.
15. Unmarried child under 18: RM2,000
Parents can get a tax relief of RM2,000 for each unmarried child of theirs under 18 years old. For parents filing separately, this deduction can only be claimed by either the child’s mother or father.
16. Child aged 18 and above pursuing a full-time education
Child aged 18 and above in Pre-U courses: RM2,000
RM2,000 can be deducted for parents with children aged 18 years and above undergoing preparatory courses such as foundation, A-Levels, matriculation, etc.
Child aged 18 and above pursuing further studies: RM8,000
RM8,000 is claimable for parents with unmarried children aged 18 and above if they are a full-time student pursuing:
- A diploma or higher (excluding the above mentioned preparatory courses) in Malaysia;
- An undergraduate, Masters, or Doctoral degree (or its equivalent) outside Malaysia; or
- Any courses at institutions of higher learning recognised by the Ministry of Higher Education (MOHE).
Insurance and investments
17. Life insurance, EPF, or approved schemes
Employee life insurance premiums: ≤ RM3,000
Employees in private and public sectors with no pensions who have life insurance premiums can claim tax relief of up to RM3,000.
Pensioners with life insurance premiums: ≤ RM7,000
Retired public servants receiving a pension can claim tax relief of up to RM7,000 for their life insurance premiums or Takaful contributions. Up until YA 2023, the relief provided for life insurance premiums is expanded to also include voluntary EPF contributions up to RM3,000.
Employees’ EPF: ≤ RM4,000
Employees in private and public sectors can also claim up to RM4,000 for EPF contributions or other approved schemes. These investments include self-contributions to EPF without employer input.
18. Deferred annuity & PRS: ≤ RM3,000
You are eligible for a tax relief limited to RM3,000 if you’ve made contributions in the deferred annuity scheme or the PRS (Private Retirement Scheme). This relief is in effect from YA 2012 to 2025.
19. Education and medical insurance: ≤ RM3,000
You’re eligible for a tax relief of up to RM3,000 if you pay insurance premiums related to education or medical benefits for yourself, spouse, or children.
20. SOCSO & EIS: ≤ RM350
You can also claim a relief of up to RM350 for contributions made to SOCSO (Social Security Organisation) and EIS (Employment Insurance System) for YA 2022. This is an increase from last YA’s RM250.
Local tourism expenses
21. Domestic travel expenses: ≤ RM1,000
RM1,000 is claimable for domestic travel expenses if you stayed at a registered hotel, or purchased entrance fees to tourist attractions or tourism packages through local travel agencies registered through the Ministry of Tourism, Arts, and Culture.
This relief includes domestic travel expenses incurred during the period between March 1, 2020, until December 31, 2022 (YA 2022).
22. Costs related to EV (electric vehicle): ≤ RM2,500
Those who own an EV can claim costs related to EV charging facilities, including installation, rental, hire-purchase of equipment, or subscription fees (for YAs 2022 and 2023).
Before claiming the tax reliefs above, remember to keep all proof of spending such as statements, invoices, and receipts. This is to prepare for a possible audit by tax authorities in the future.
Under the tax laws, you are required to keep the records supporting your tax returns for up to a period of seven years.
- Read more about what we’ve written on taxes here.
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