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Responsibilities of Individual in MalaysiaTaxation Responsibilities

 

Taxation Responsibilities

-Individual receiving annual income more than RM30,672 per year (after EPF deduction)
-Married individual with non-working spouses receiving annual income of more than RM40,344 per year (after EPF deduction)
-Individual who runs a business
-New employee who is subjected to Monthly Tax Deduction (MTD)
-Individual who is eligible for tax refund that has been deducted from dividend income
-Individual who is selling/ buying a property.

CATEGORY SUPPORTING DOCUMENTS
NON-BUSINESS INCOME – Identification card (New identification card, army, police or passport)
BUSINESS INCOME – Identification card (New identification card, army, police or passport) – Business Registration Certificate
Taxation Responsibilities

-Phone number
-Address (mailing, home, business premise and email)
-Name and bank account number (for refund purposes, if any)

  • Update particulars with employer

-Complete Form TP1/ TP3 for MTD information
-Send to employer

-Claims can be updated from time to time and will be prefilled in the Income Tax Return Form (e-Filing) for the relevant year of assessment

Taxation Responsibilities
  • Check the records of tax transaction in e-Lejar

-Make sure the amount deducted by employer is the exact amount remitted to LHDNM
-Make sure the MTD payment and CP500 show the correct figure
-Monitor the remaining tax balances payment/ tax overpaid

  • Check application status using the application number within 3 working days after submission of complete documents via e-Daftar
Taxation Responsibilities
ITEMS NON-BUSINESS INCOME BUSINESS INCOME
Types of forms
(e-Filing)
e-Be/ e-BT/ e-M/ e-MT e-B/ e-BT/ e-M/ e-MT/ e-P
Due date to submit the Income Tax Return Form and pay the balance of tax payable 30 APRIL 30 JUNE
Taxation Responsibilities
  • Comply with tax payment schedule

-Employment      : Monthly Tax Deduction (MTD)
-Other than Employment: Installment Payment Notice (CP500)

  • Pay tax balance via ByrHASIL or appointed LHDNM agents
Taxation Responsibilities
INDIVIDUAL INSTALLMENT
EMPLOYMENT (MTD) Tax deduction based on MTD Rules Pay before / on the 15th of every month
OTHER THAN EMPLOYMENT (CP500) 6 installment will be issued by LHDNM Payment beginning March Installment must be paid within 30 days Apply for amendment before 30 June (if necessary)
Taxation Responsibilities
  • Income Tax Number
  • Name and Identification Card Number
  • Address
  • Year of Assessment
  • Installment Number
  • Payment Amount
Taxation Responsibilities
  • Obtain the right tax information and advice
  • Provide ideas and comments
    (idea_desire@hasil.gov.my)
  • Appeal (within the period allowed together with complete documents)
*Y/A=Year of Assessment
TAXABLE INCOME (RM) RESIDENCE INDIVIDUAL TAX RATE RESIDENCE INDIVIDUAL TAX RATE
*Y/A 2015 *Y/A 2016
1-5,000 0% 0%
5,001-20,000 1% 1%
20,001-35,000 5% 5%
35,001-50,000 10% 10%
50,001-70,000 16% 16%
70,001-100,000 21% 21%
100,001-250,000 24% 24%
250,001-400,000 24.5% 24.5%
400,001 – 600,000 25% 25%
600,001 – 1,000,000 25% 26%
Exceeding 1,000,000 25% 28%