KUALA LUMPUR, Oct 24 – Prime Minister Datuk Seri Najib Tun Razak who is also Finance Minister said the tax relief for each child below 18 years of age will be increased from RM1,000 to RM2,000 from year of assessment 2016. He said the tax relief for individual tax payer whose spouse has no income will be increased from RM3,000 to RM4,000.
“Currently, individual tax payers are given tax relief up to RM5,000 per year for medical treatment and care of parents who are ill. The government viewed positively the attitude of children who took care of the welfare of their parents and encouraged strengthening of the family institution,” he said this when tabling Budget 2016 at the Dewan Rakyat here today.
“For the first time, children who provide for their parents are given a tax relief of RM1,500 for the mother and RM1,500 for the father. However, the relief is subject to the condition that each parent does not have income exceeding RM2,000 a month and must be 60 years and above,” he said.
Najib said a tax relief of RM6,000 to RM8,000 would be given to each child above 18 and studying in local or foreign institutions of higher learning from year of assessment 2016. He said for individual tax payers who pursued any course of study up to tertiary level in selected fields of study, or Master or Doctorate level in any field at any institution or professional body in Malaysia recognised by the government or approved by the Minister of Finance are eligible to claim relief on the study fees.
In the same time, Najib also said that the government will also increase tax relief from RM6,000 to RM8,000 for disabled child above the age of 18 years who will studying at local or foreign institutions of the higher learning from the year of assessment on 2016.
