It is year end again. It is the time we review our budget and tax planning for the whole year. Have you fully utilized the tax relief for book purchase of RM700? Next year 2007, it will be increased to RM1000/person!
I am going to list down the advantages of using this tax relief:
1. Save a few hundred Ringgit of taxes. If your tax bracket is 20%, you will save RM140 if you fully utilize the relief.
2. Normally books can be bought at a discounted price at Popular, MPH, Border etc. 10%-30%. If we include the tax saved, the books we bought are further discounted for another 20%!
3. I like to read motivational books and financial books. These books contain a lot of info and practical tips to earn more and save more. Those info will eventually increase my earning and my saving as well.
4. If you are a slow reader and find that you can’t finish reading the books you bought using RM700 in a whole year, you can consider buying books as gifts. There is alwayssome one’s birthday, anniversary, job promotion, Xmas celebration. Why not giving them books as gift?
To be qualified for tax relief, original receipt must be kept. Any books and magazine is qualified for the claim except porno, newspaper or comic.
Go and buy some books!