KUCHING: Couples seeking fertility treatment such as in-vitro fertilisation (IVF) will soon be able to enjoy income tax relief of up to RM6,000 covered under the income tax relief for medical treatment of serious illnesses.
Inland Revenue Board of Malaysia (LHDN) Tax Policy Department Ruling Division director Rosnita Ahmad said the tax exemption for fertility treatment is a new addition to the income tax relief for medical treatment of serious illnesses, which was announced by Finance Minister Lim Guan Eng during the recent tabling of Budget 2020.
“For those who have undergone fertility treatment such as IVF, intrauterine insemination (IUI) or any other fertility treatment approved by a medical practitioner registered under the Malaysian Medical Council (MMC), if they have kept the receipts, they will be qualified for tax relief of up to a maximum of RM6,000,” she told reporters when met at the LHDN National Tax Seminar 2019, here yesterday.
She pointed out that this tax relief will be applicable starting from the Year of Assessment 2020 and that those who wish to claim the exemption would be required to have certification from an MMC-registered medical practitioner.
“The receipt must also bear the individual’s name. So for instance, if the receipt bears the husband’s name, he can claim the tax relief and the same applies if the receipt is under the wife’s name.
“But if both husband and wife have receipts for the fertility treatment, both can claim up to a maximum of RM6,000 respectively,” she explained.
However, Rosnita noted that as the fertility treatment falls under the serious disease provision, individuals who have claimed the maximum RM6,000 tax relief for illnesses under this provision will not qualify for this tax exemption.
“But if the individual has not claimed up to RM6,000, he or she can still file for tax relief for the fertility treatment,” she said.
Meanwhile, LHDN Kuching Investigation Branch director Sawing Kri said Malaysia’s main tax authority will always be ready to ensure that the national tax system operates effectively and efficiently.
He stated that the board will set appropriate tax compliance, awareness and education strategies to ensure that tax rates to be collected are in line with the country’s economic growth.
“At the same time, enforcement activities will be streamlined to ensure that there is no leakage in the country’s revenue, in addition to upholding the principles of justice in the implementation of the effective tax policy.”
He stressed that the national tax system is jointly owned by the government and the people, and therefore it is the responsibility of each party to ensure that tax laws continue to be enforced through voluntary tax compliance.
On the seminar, he said it is held with the objective of providing the latest information to tax practitioners, professional bodies, employers and the public on issues regarding taxation law amendments which were recently announced during the recent tabling of Budget 2020.
The event featured two talks – ‘2020 Budget Proposals’ presented by Rosnita, and ‘Post Special Programme for Voluntary Disclosure (SVDP) and the New Horizon’ by LHDN Tax Collection Department, Tax Management Division senior executive officer Chua Tian Siang.