Qualifying for relief
You will receive Earned Income Relief if you have taxable earned income from any of the following sources in the previous year:
Amount of relief
The amount of Earned Income Relief is based on your age and taxable earned income (less any allowable expenses) in the previous year.
Your age as of 31 Dec of the previous year
*Maximum amount claimable
55 to 59
60 and above
* If the amount of taxable earned income is lower than the maximum amount claimable, the relief will be capped at the amount of taxable earned income.
For example, if you are 55 years old as at 31 Dec 2022 and have taxable earned income of $5,000 in 2022, you will get Earned Income Relief of $5,000 (instead of $6,000) for the Year of Assessment 2023.
Earned Income Relief for handicapped persons
A higher Earned Income Relief (shown in the table below) will be given to those with permanent *physical or ^mental disability that severely affects their ability to work.
* Physical disability - requires assistance in any one of the following 6 Activities of Daily Living (ADLs): (1) Washing or Bathing, (2) Dressing, (3) Feeding, (4) Toileting, (5) Transferring and (6) Mobility.
^ Mental disability - impaired in any one of the following 3 areas of activities: (1) Self Care and Activities of Daily Living, (2) Compliance to Psychiatric Treatment and (3) Education or Work.
|Your age as of 31 Dec of the previous year||**Maximum amount claimable|
|55 to 59||$10,000|
|60 and above||$12,000|
** If the amount of taxable earned income is lower than the maximum amount claimable, the relief will be restricted to the amount of taxable earned income.
How to claim
You do not need to claim Earned Income Relief in your Income Tax Return as it will be automatically granted to you based on your eligibility.
First-time claim for Handicapped Earned Income Relief
You also need to complete your Income Tax Return as follows:
- If you are e-Filing your Income Tax Return: Enter the details of your handicap under Section “4. Deductions, Reliefs and Parenthood Tax Rebate” > “Earned Income Relief”.
- If you are submitting a paper Income Tax Return: Enter the details of your handicap in Appendix 2 of the Income Tax Form.
We will automatically grant you Handicapped Earned Income Relief in subsequent years if you are eligible. You do not need to enter the claim in your Income Tax Return in subsequent years.
I have filed my Income Tax Return. This is my first time claiming Handicapped Earned Income Relief. What should I do if I have forgotten to claim the relief?
1. If you e-Filed your Income Tax Return
Please re-file within 7 days of your previous submission or by 18 Apr, whichever is earlier. You will only be able to re-file once. When you re-file, you must include all your income details, expenses, donations and relief claims, where applicable. Once you have re-filed successfully, your new submission will override the previous submission.
2. If you filed a paper Income Tax Return or are unable to re-file online
Please email us your request to claim or revise the relief.