How Much Tax Will You Save Under Budget 2027?
Individual relief rises from RM9,000 to RM12,000, and the rate on chargeable income of RM70,001–RM150,000 drops by 1 percentage point. Enter your salary to compare your yearly tax now against after Budget 2027.
Estimate for tax residents. EPF at 11% is counted as relief (capped at RM4,000). Includes the RM400 rebate when chargeable income is RM35,000 or less.
Tax savings by salary
Single, no children, only individual and EPF relief.
| Monthly salary | Tax now | Tax 2027 | Saving / year |
|---|---|---|---|
| RM3,000 | RM0 | RM0 | RM0 |
| RM4,000 | RM200 | RM110 | RM90 |
| RM5,000 | RM1,320 | RM1,140 | RM180 |
| RM6,000 | RM2,490 | RM2,160 | RM330 |
| RM8,000 | RM6,170 | RM5,500 | RM670 |
| RM10,000 | RM11,150 | RM10,060 | RM1,090 |
| RM12,000 | RM17,150 | RM15,820 | RM1,330 |
| RM15,000 | RM26,150 | RM24,600 | RM1,550 |
| RM20,000 | RM41,150 | RM39,600 | RM1,550 |
Savings peak at about RM1,550–RM1,600 a year once chargeable income passes RM150,000. People earning above RM1 million a year will pay more because of the 30% rate.
Tax rates: now vs 2027
| Chargeable income | Now | 2027 |
|---|---|---|
| RM0 – 5,000 | 0% | 0% |
| RM5,001 – 20,000 | 1% | 1% |
| RM20,001 – 35,000 | 3% | 3% |
| RM35,001 – 50,000 | 6% | 6% |
| RM50,001 – 70,000 | 11% | 11% |
| RM70,001 – 100,000 | 19% | 18% |
| RM100,001 – 150,000 | 25% | 24% |
| RM150,001 – 400,000 | 25% | 25% |
| RM400,001 – 600,000 | 26% | 26% |
| RM600,001 – 1,000,000 | 28% | 28% |
| RM1,000,001 – 2,000,000 | 28% | 30% |
| Above RM2,000,000 | 30% | 30% |
| Individual relief | RM9,000 | RM12,000 |
Only the bands announced in the Budget speech change; the rest stay the same. We will update this page if LHDN's official schedule differs.
What to know
- Most of the saving comes from the RM12,000 relief. The extra RM3,000 comes off your chargeable income, so it is worth your top tax rate: RM90 at 3%, RM330 at 11%, RM540 at 18%.
- Salaries around RM3,000 or less usually pay no tax already after the RM400 rebate, so nothing changes.
- When it applies: these are Budget proposals and must pass the Finance Bill. They are expected to apply to income earned in 2027 (YA2027, filed in 2028). Your monthly PCB will change once LHDN updates the PCB schedule.
- Budget 2027 also adds relief for AI subscriptions and pet vaccination/adoption; the limits have not been announced yet.
Sources: FMT, Lowyat.NET, Malay Mail. All Budget updates: Budget 2027 live.
What is your take-home pay?
Work out EPF, SOCSO, EIS and PCB every month.