Q:
Jane is pursuing ACCA qualification, can she claim the education fee relief for the fees paid? For example, registration fee, exemption fee, exam fee, tuition fee, material fee and annual subscription fee.
A:
Only fees expended for any of the following courses of study undertaken in any institution or professional body in Malaysia recognized by the Malaysian Government or approved by the Minister of Finance are eligible for the education fee relief of up to RM7,000:
(i) Other than a degree at Masters or Doctorate level
Any course of study up to tertiary level undertaken for the purpose of acquiring law, accounting, Islamic finance approved by Bank Negara Malaysia or Securities Commission, technical, vocational, industrial, scientific or technological skills or qualifications; or
(ii) Degree at Masters or Doctorate level
Any course of study undertaken for the purpose of acquiring any skill or qualification.
If Jane is taking a course in a higher education institution recognized by the Ministry of Higher Education or approved by the Minister of Finance then the fees charged by the institution such as registration fee, tuition fee and material fee are eligible to be claimed under education fee relief. The fees paid directly to ACCA such as exemption fee and exam fee are not eligible for the relief.
Q:
How to claim tax deduction for the membership fee paid for professional qualification?
A:
Membership fee is deductible against the gross employment income if the professional qualification is related to the employment to arrive at the employment income to be declared in the income tax return form.
Wishing you plentiful tax savings!
Zen Chow
YYC Tax Guru
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