Summary
  • AI subscriptions included in lifestyle tax relief.
  • Sports shoes and pet adoption expenses also covered.
  • Additional relief introduced for education and family care.

KUALA LUMPUR, October 9 — Malaysians will be able to claim personal income tax relief for artificial intelligence (AI) subscriptions under Budget 2027.

Following the government’s decision to expand existing lifestyle tax relief categories. Prime Minister and Finance Minister Anwar Ibrahim announced that the expanded relief will also cover.

Sports shoes, vaccination expenses and costs related to adopting pets from registered centres, alongside additional deductions for education and family care.

The government will also extend medical relief to postnatal care services, while tax relief for parents and grandparents will cover general care expenses instead of being limited to healthcare costs.

Education-related relief will be expanded to include all fields of study and children’s tuition fees, although the budget speech does not specify the maximum claimable amounts or detailed eligibility requirements for the newly introduced categories.