On-the-ground reality of childcare fee tax relief

THE government’s announcement in Budget 2026 to enhance tax relief for childcare fees is a welcome step towards supporting working parents.

The proposal to make the additional RM1,000 relief permanent and combine it with the existing RM2,000, bringing the total to RM3,000, and to expand eligibility to registered childcare and after-school transit centres for children up to 12 years old is commendable.