What a Great Relief

What a GREAT RELIEF to the common man when the Income Tax (Amendment ) Act 2000 was announced in Parliament.

The Amendment among others seeks to provide an increase in rebate for an individual and his wife who elects to be assessed. The rebate is increased for the elected husband from the present RM 110.00 to RM 350.00 while the elected wife also obtains a rebate from RM 60.00 to RM 350.00. This aforesaid rebate is given where the chargeable income in respect of each individual and his wife shall not exceed RM 35,000.00 per annum.

The amendment also provides for an increase in deduction from RM 2,000.00 to RM 5,000.00 for individual on fees expended for any course of study in Malaysia for the purposes of acquiring technical, vocational or industrial skills. This also includes scientific and technological skills and qualifications obtained at the tertiary level.

There is also a new deduction given for the amount spent on a medical up for the taxpayer, his wife or child and the maximum allowed is RM 500.00.