Malaysia Income Tax Relief 2023
19 reliefs an employee could claim in 2023 to reduce their monthly tax deduction, with the maximum claimable for each. Claimed through form TP1, which the employer applies when calculating PCB.
These are the reliefs an employee claims through their employer on form TP1 to reduce monthly PCB. The annual tax return allows further reliefs that do not apply to a monthly deduction, so this is not the full list for filing.
Grouped as on form TP1, the form an employee files with their employer to claim these.
| Relief | Maximum | Available |
|---|---|---|
| Parents and grandparents | ||
| Medical Expenses of Own Parents | RM 8,000 | From 2021 |
| Basic supporting equipment (disabled) | ||
| Basic Supporting Equipment | RM 6,000 | From 2018 |
| Education fees (self) (shared yearly limit RM 7,000) | ||
| Higher Education Fees (Self) | RM 7,000 | From 2018 |
| Upskill Course Fees (Self) | RM 2,000 | From 2022 |
| Medical expenses (self, spouse, children) (shared yearly limit RM 10,000) | ||
| Medical Expenses on Serious Diseases | RM 10,000 | New in 2023 |
| Fertility Treatment | RM 8,000 | Last year 2023 |
| Vaccine Treatment | RM 1,000 | From 2021 |
| Complete Medical Examination | RM 1,000 | From 2021 |
| Lifestyle | ||
| Lifestyle Deduction | RM 2,500 | From 2018 |
| Sports | ||
| Sports Expenditure | RM 500 | Last year 2023 |
| Breastfeeding equipment | ||
| Purchase Of Breastfeeding Equipment | RM 1,000 | From 2018 |
| Childcare | ||
| Fees Paid To Child Care Centres And Kindergartens | RM 3,000 | From 2021 |
| Education savings (SSPN) | ||
| Net Deposit in Skim Simpanan Pendidikan Nasional (SSPN) | RM 8,000 | From 2019 |
| Alimony | ||
| Payment of Alimony to Former Wife | RM 4,000 | From 2018 |
| Insurance and retirement savings | ||
| Life Insurance / Voluntary EPF | RM 3,000 | Last year 2023 |
| Contribution to a Private Retirement Scheme and Payment of Deferred Annuity | RM 3,000 | From 2018 |
| Education and Medical Insurance | RM 3,000 | From 2018 |
| SOCSO and EIS contributions | ||
| SOCSO Payment | RM 350 | From 2022 |
| Green and home equipment | ||
| Electric Vehicle | RM 2,500 | From 2022 |
Fixed PCB deductions 2023
Applied automatically in the PCB calculation, before any relief claimed on form TP1. No changes were gazetted for 2023: the amounts in force since 2022 continue to apply.
| Deduction | Amount |
|---|---|
| Individual | RM 9,000 |
| Spouse (not working) | RM 4,000 |
| Each child | RM 2,000 |
| Approved insurance and EPF | RM 4,000 |
| Disabled individual | RM 6,000 |
| Disabled spouse | RM 5,000 |
| Non-resident flat rate | 30% |
| Iskandar / Returning Expert flat rate | 15% |
Other years
Relief amounts follow the Income Tax Act and the LHDN PCB rules, and change with each Budget. These figures are the ones AutoCount HRMS calculates PCB with; confirm against the current LHDN schedule before relying on them for filing.
Run payroll on the engine behind these pages — AutoCount HRMS calculates EPF, SOCSO, EIS and PCB exactly as published here.
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