The Malaysian government has introduced several new income tax relief and changes under the latest national budget, offering individuals with more opportunities to reduce their tax burden.
Income tax relief checklist
1. Personal relief
- Individual / dependent relatives RM9,000
- Disabled individual RM7,000
- For education fees , other than a degree at masters or PhD level (course of study in law, accounting, Islamic financing, technical, vocational, industrial, scientific or technology) and degree at master or PhD level are restricted to RM7,000
- Self-enhancement / personal development courses (Restricted to RM2,000)
2. Spouse, parents and grandparents relief
- Husband / wife / alimony payments RM4,000
- Disabled husband / wife RM6,000
- Interest on housing loan for first home ownership RM5,000-RM7,000 depends on house price (Sale and purchase agreement from 1 January 2025 to 31 December 2027)
3. Children relief
- Unmarried child below 18 years old RM2,000
- Unmarried, full-time students (Matric, A-level, pre-university) RM2,000
- Unmarried, full-time students (Diploma & above in Malaysia / Degree & above outside Malaysia) RM8,000
- Unmarried child with disabilities RM8,000
- Additional relief RM8,000 for unmarried child aged 18 years and above, pursuing Diploma and above in Malaysia or Degree and above outside Malaysia
- Registered child care centre / kindergarten fees for a child aged 6 years and below RM3,000
4. Lifestyle relief
| Types | Amount (RM) |
| Lifestyle (self /spouse /child) – Purchase or subscription of reading materials – Purchase of a personal computer/ smartphone/ tablet – Internet subscription bills – Skill improvement/ personal development course fee | 2,500 |
| Additional relief – Purchase of sports equipment for sports activities – Rental/ entrance fees to sports facilities – Sports competition registration fees – Gym membership fees/ sports training fees | 1,000 |
| Electric vehicle charging & domestic food waste composting machine (household use) | 2,500 |
| Purchase of breastfeeding equipment | 1,000 |
5. Medical and health relief
- Serious illness/ fertility treatment/ vaccination/ dental examination & treatment/ medical examination (self/ spouse/ child) RM10,000
- Medical treatment/ dental treatment/ special needs & care for parents and grandparents RM8,000
- Expenses on basic support equipment for disabled individual (self/ spouse/ child/ parent) RM6,000
6. Insurance and contributions relief
- Life insurance & EPF up to RM7,000
- Private Retirement Scheme (PRS) & deffered annuity up to RM3,000
- Skim Simpanan Pendidikan Nasional (SSPN) up to RM8,000
- SOCSO contributions up to RM350
- Education & medical insurance (self/ spouse/ child) up to RM4,000
Who needs to file taxes?
- Malaysia citizens
- Foreigner who stays in Malaysia for more than 182 days
- Individuals who have personal income
According to LHDN Malaysia, individuals with an annual income of around RM37,333 (about RM3,111 monthly) after deducting EPF are required to pay tax. While those earning below RM37,333 annually only need to file taxes but may not need to pay tax.
Deadlines for filing taxes 2026
1. Individual
| Types | Forms | Deadlines |
| Carry on business | Form B | Paper submission: 30/6/2026 Online: 15/7/2026 |
| Does not carry on business (employment and other income) | Form BE | Paper submission: 30/4/2026 Online: 15/5/2026 |
2. Company and employer
| Types | Forms | Deadlines |
| Company-issued income statement | Form EA | 28/2/2026 |
| Employees’ salary details and tax deductions | Form E | Paper submission: 31/3/2026 Online: 30/4/2026 |
3. Partnership and enterprise
| Types | Forms | Deadlines |
| Partnership | Form P | Paper submission: 30/6/2026 Online: 15/7/2026 |
| Private limited company | Form C | Paper submission: Within 7 months from the date following the close of the accounting period Online: Within 8 months from the date following the close of the accounting period |
| Limited liability partnership | Form PT | Paper submission: Within 7 months from the date following the close of the accounting period Online: Within 8 months from the date following the close of the accounting period |
Taxpayers can register or log in https://mytax.hasil.gov.my/ to file their taxes before deadlines to avoid penalties.
Offences, fines and penalties
Besides that, individuals with outstanding tax debts may face travel restrictions and more difficult to obtain bank loans.
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