26 Ways to Slash TAXES - Part 3

11) Take out a Medical or Education policy
You can claim deductions of up to RM 3000 a year for education and medical insurance ( combined limit for both )
This includes medical coverage that is part of life insurance policy( the limit for life insurance is in move 10 )
A policy of this kind can be written for you , your spouse or your child.

Tax deduction :
RM 3000 per individual

For Mr A :After acquiring an education policy for his children , Mr A makes a saving of RM 720 ( RM 3000@ 24%)


12) Pay your parents’ medical bills
You are able to claim up to RM 5000 for payments towards your parents’ medical bills.

Tax deduction :
RM 5000 per individual

For Mr A : By paying his parents’ medical bills , Mr A makes a saving of RM 1200 ( RM5000@ 24%)


13) Medical
Claim a deduction of up to RM 500 per tax year for a full medical examination and RM 5000 for medical expenses for yourself, spouse or child for serious disease.

If you have also spent money on full medical in the same year, your claim will be reduce the RM5000 available for serious disease.

A separate tax reduction of up to RM5000 a year is given for necessary basic supporting equipment for disabilities suffered by yourself ,spouse, children or parent

Tax Deduction :
RM 500 per individual for full medical check-up.
RM5000 for serious diseases or basic supporting equipment

For Mr A : He claimed for a full medical check-up .The deduction give him of RM 120 ( RM 500@24%)


14) Pay Zakat
If you are a muslim ,paying any amount in zakat , fitrah or other obligation Islamic dues will entitle you to a tax rebate.

Tax deduction :
The Amount of zakat that you pay

15) Buy a Computer
A deduction of up to RM 3000 can be claimed once every three years for the purchase of computers , printers and bundled software .
The similar i9ncentive given previously in the form of a tax rebate was withdrawn with effect from 2007

Tax deduction : RM 3000 once every three years.

For Mr A : Getting a computer for RM3000 gives him a saving of RM 720 ( RM 3000@24%)