How much tax relief can depositors claim annually?

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Depositors can claim up to RM8,000 in annual income tax relief on net savings.

Depositors of the National Education Savings Scheme (Simpan SSPN) are eligible to claim income tax relief of up to RM8,000 annually on their net savings. This tax incentive has been extended by the government until the year 2024, encouraging continued savings for children's education. The relief is calculated based on the net savings accumulated within the current year.
Extension of Tax Relief Incentive

The income tax relief incentive for Simpan SSPN depositors has been confirmed to continue until 2024. This extension was announced by Prime Minister Datuk Seri Anwar Ibrahim in March, with PTPTN chairman Datuk Norliza Abdul Rahim expressing optimism that it will motivate parents to save more for their children's future, potentially reducing reliance on education loans.
Calculation Basis for Relief

The tax relief is determined by the amount of net savings made within the current tax year. This means that the more a depositor saves in their Simpan SSPN account during the year, the greater the potential tax relief they can claim, up to the RM8,000 annual limit.
Eligibility for Joint Filers

Parents who are depositors can each claim income tax assessment relief of up to RM8,000 per year if they file their tax returns separately. This provision allows for individual claims for each parent, effectively doubling the potential family tax benefit on net savings in the scheme.
Broader Scheme Advantages

Beyond the income tax relief, Simpan SSPN offers depositors several other benefits. These include takaful insurance protection, Matching Grants of up to RM10,000 per eligible family, competitive dividend rates, and the assurance of government-guaranteed and Shariah-compliant savings. As of May 31, the scheme had recorded total deposit receipts of RM15.28 billion from 5.92 million accounts.

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How much tax relief can depositors claim annually?

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