Earned Income Relief

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:

• Employment;
• Pension; or
• Trade, business, profession or vocation.

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.

* 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 2023 and have taxable earned income of $5,000 in 2023, you will get Earned Income Relief of $5,000 (instead of $6,000) for the Year of Assessment 2024.

Earned Income Relief for persons with disability

A higher Earned Income Relief (shown in the table below) will be given to those with permanent *physical disability or ^mental impairment 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 impairment - 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.

** 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 Earned Income Relief (Disability)

If you are claiming Earned Income Relief (Disability) for the first time, please email us the

• Completed Application for Claim of Disability - Related Tax Reliefs (DOC,413KB); or
• Letter/supporting documents from the disability association indicating the disability details. 

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 disability under Section “4. Deductions, Tax Reliefs and Rebates” > “Earned Income Relief”.
• If you are submitting a paper Income Tax Return: Enter the details of your disability in Appendix 2 of the Income Tax Form.

We will automatically grant you Earned Income Relief (Disability) in subsequent years if you are eligible. You do not need to enter the claim in your Income Tax Return in subsequent years.

FAQs