PPA: Retirement Savers Will Benefit From PRS Tax Relief Extension Until 2025
Author Avatar

(Image: The Malaysian Reserve)

The Private Pension Administration Malaysia (PPA) has commended the government for its move in extending the RM3,000 tax relief for the Private Retirement Scheme (PRS) until 2025, stating that the extension will benefit retirement savers.

“The extension, announced under Budget 2021, is a positive move as the government that views the rakyat’s preparedness towards their retirement wellbeing as a national priority, especially during this challenging time,” said the chairman of PPA, Datuk Zaiton Mohd Hassan.

Datuk Zaiton further said that the PRS tax relief currently provided has been effective in encouraging Malaysians to save more for their retirement in this voluntary scheme thus far as almost half a million PRS members have collectively saved RM4.4 billion in net asset value. She added that the PRS industry continues to remain resilient despite a challenging year caused by the Covid-19 pandemic.

“For PRS members who have not maximised their tax relief for 2020, they can also top up their PRS accounts anytime, anywhere with the PRS Online application,” said Datuk Zaiton. First-time PRS savers can also tap into PPA’s “Jom PRS, Gets Treats!” contest to boost their retirement savings even more as it offers monthly draws and prizes up to RM30,000 in units. The ongoing contest ends on 14 December 2020.

To put things into context, individuals investing in PRS are currently allowed by the Inland Revenue Board (LHDN) to claim tax relief of up to RM3,000 each year. This allowance was first approved in 2012, and was made available for a period of 10 years – slated to end in 2021. During the tabling of Budget 2021, however, Finance Minister Tengku Zafrul Abdul Aziz announced that this tax incentive will be extended to 2025.

(Source: The Sun Daily)

5 1 vote
Article Rating


Comments (0)

Notify of

Inline Feedbacks
View all comments
Top Personal Finance News Articles
Post Image
Petrol Price Malaysia Live Updates (RON95, RON97 & Diesel)
- 25th January 2023
We provide weekly updates on every Friday at 5pm on the prices of RON95, RON97 and Diesel in Malaysia and a chart that shows the movement of fuel prices across a 6-week period. Bookmark this page now!
Post Image
Astro 4K Ultra HD Broadcast To Be Available For Subscription By The End of This Year
Brian Chung
- 14th August 2018
By the end of 2018, Astro customers will be able to watch football matches in Ultra HD. Read on to know more about the 4k Ultra HD service.
Post Image
Touch n Go RFID: What Malaysian Road Users Need To Know
Jacie Tan
- 10th August 2018
Everyone’s talking about Touch ’n Go RFID being used at Malaysian highway tolls soon – here’s what you need to know about it.
Post Image
Best High Interest Savings Accounts In Malaysia (January 2023)
Pang Tun Yau
- 11th January 2023
Make your money work for you by depositing them into the best high-interest savings accounts in Malaysia!

Related articles

Related Posts Image
Related Posts Image

PM: Govt Will Not Reinstate GST For Now

Jacie Tan -
2nd February 2021
Related Posts Image
Related Posts Image