Greetings from Visual Solutions (M) Sdn Bhd. We would like to inform you that as per the proposed budget 2023, there will be changes in the flexHRMS system for the following statutory items for the year 2023 as below:
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Changes as proposed in Budget 2023.
1. Resident Individual Tax Rate
-Â Â 2% reduction for each chargeable income band between RM35,001 to RM100,000 (tax savings upto RM1,300)
-Â Tax rate from bands RM100,001 to RM 1 million will be increased by 0.5% to 2%
2. Review of Income Tax Relief for Medical Treatment Expenses
-Â Tax relief for medical treatment expenses will be increased from RM8,000 to RM10,000 Expanded to include the cost of rehabilitation of neuro developmental disorders such as Autism, Down Syndrome and Specific Learning Disabilities limited to RM4,000. Starting from year of assessment 2023.
3. Tax Relief on Voluntary Contribution to Employees Provident Fund
-Â Â Tax relief for life insurance premium or life takaful contribution of upto RM3,000 Expanded to include additional voluntary EPF contribution (including civil servants under the pension scheme) Starting from year of assessment 2023
4. Extension of Individual Income Tax Relief for Child Care Centre or Kindergarten Fees
-Â Â Tax relief upto RM3,000 on the fees paid for child care centres and kindergartens will be extended until year of assessment 2024
We will release the standard version updates after the proposed budget 2023 is approved and gazetted.
Ren Ecosystem