Income Tax Guide 2015

The tax season is here once again. Wade through the complexities of your tax filings with our comprehensive yet simple guide for tax assessment year 2014.

[UPDATE] We have a newer, better version of this article, complete with all the new changes for 2016 right here!

Tax season is here again and if you have yet to file your taxes, fear not, we have a comprehensive guide for you here. This guide is targeted to both first time taxpayers and veterans alike and covers tax assessment year 2014.

The Malaysian Taxation System

Seasoned taxpayers can skip this segment. In a nutshell, the Malaysian tax system is progressive, which means you only pay the higher rate on earnings above the previous rate tier. The system ensures you would never have less net income after tax for earning more.

Taxable income consists of the sum of the income you earn that are taxable. Taxes are levied only on your chargeable income, the portion of your taxable income after taking into account tax exemptions and tax reliefs.

Rates for Assessment Year 2014 (For Filing by April 2015)

Chargeable Income (RM) Calculation (RM) Rate (%) Tax (RM)
0 - 2,500 On the first 2,500 0 0
2,501 - 5,000 On the next 2,500 0 0
5,001 - 10,000 On the first 5,000 0
On the next 5,000 2 100
10,001 - 20,000 On the first 10,000 100
On the next 10,000 2 200
20,001 - 35,000 On the first 20,000 300
On the next 15,000 6 900
35,001 - 50,000 On the first 35,000 1,200
On the next 15,000 11 1,650
50,001 - 70,000 On the first 50,000 2,850
On the next 20,000 19 3,800
70,001 - 100,000 On the first 70,000 6,650
On the next 30,000 24 7,200
100,000 and above On the first 100,000 13,850
On every following ringgit 26 ......

Taxable Income

The following sources of income are considered taxable in Malaysia:

  • Business or profession
  • Employment
  • Dividends
  • Interests (except bank deposit interests)
  • Discounts
  • Rent collected
  • Royalties
  • Premiums
  • Pensions
  • Annuities

On top of that perquisites - benefits or perks that come with your employment that can be converted into monetary value - are taxable including bill claims, company credit cards, company loans, sponsored club memberships, sponsored child tuition fee, personal driver and any benefits offered by your employer that could be converted into cash.

For example, if your company paid for your mobile phone bill which amounted to RM100 per month for the tax year of 2014, that RM2,400 in phone bills are taxable and is added to your taxable income.

Benefits in kind are also taxable. Benefits in kind are benefits or perks that come with your employment that could not be converted into monetary value like cars, lodging, electronics and home furnishing.

As benefits in kind has no equivalent monetary value, their value for taxation purposes are calculated using one of the following methods:

The formula method: Annual value of benefit = Value of asset / Asset's lifespan

The prescribed value method: Assigns a predetermined valued from a list sorted by classification of asset.

Chargeable Income

Chargeable income is the portion of your income that is taxable after deducting tax reliefs and tax exemptions. The formula to calculate your chargeable income is:

Chargeable income = Taxable income - Tax exemptions - Tax reliefs

For example, if you earned RM42,000 in the tax year of 2014, and assuming you do not have any tax exemptions and no other tax reliefs beyond the basic ones, your chargeable income would be calculated as follows:

Taxable income: RM42,000

Tax relief: RM9,000 in individual tax relief + RM4,620 in EPF contribution tax relief (11% of RM42,000, which is RM4,620)

Putting both taxable income and tax reliefs together, we get:

Chargeable income = RM42,000 - RM9,000 - RM4,620 = RM28,380

Your chargeable income would fall under the 20,001 - 35,000 bracket. You would pay RM300 on the first RM20,000 and 6% on the remaining RM8,380 (RM502.80) which totals to RM802.80.

Individuals with chargeable income under RM35,000 are entitled to an RM400 tax rebate.

You tax for the tax assessment year of 2014 would be just RM402.80.

Tax Exemption

Tax exemptions are "a personal allowance or specific monetary exemption which may be claimed by an individual to reduce taxable income". Tax exemption are items which are completely removed from your taxable income, unlike tax reliefs which are deductions upon your taxable income.

The following items are qualified for tax exemption:

  • Leave passage
  • Medical and dental benefit
  • Retirement gratuity
  • Gratuity paid out of public funds
  • Gratuity paid to a contract officer
  • Compensation for Loss of Employment
  • Pensions
  • Death gratuities
  • Scholarships
  • Income of an individual resident in Malaysia in respect of his appearances in cultural performances approved by the Minister
  • Income Remitted from Outside Malaysia
  • Fees or Honorarium for Expert Services
  • Income Derived from Research Findings

While the following items are included under taxable income, they are tax exempted if they fall under certain criteria.

  • Interests
  • Dividends
  • Royalties

Please refer to the Inland Revenue Board of Malaysia's page on tax exemption for further information regarding the items above.

Tax Relief

Tax relief is "an amount that can be deducted from a person's annual income to reduce the amount on which tax is paid". Unlike tax exemptions in which the items are completely removed from your taxable income, tax reliefs are items that reduce your total chargeable income.

The following table details the tax reliefs available to individual tax payers.

Individual Relief Category Relief Amount (RM)
Self and dependent 9,000
Medical expenses for parents Up to 5,000
Basic supporting equipment (disability) Up to 5,000 for assessment year 2014
up to 6,000 for assessment year 2015 onward
Disabled individual 6,000
Education fees (individual) Up to 5,000
Medical expenses for serious diseases Up to 5,000 for assessment year 2014
up to 6,000 for assessment year 2015 onward
Complete medical assessment Up to 500
Purchase of books, journals, magazines and publications Up to 1,000
Purchase of personal computer (once in every 3 years) Up to 3,000
Net saving in SSPN's scheme Up to 3,000
Net saving in SSPN's scheme (with effect from year assessment 2012 until year assessment 2017) Up to 6,000
Purchase of sport equipment for sport activities Up to 300
Interest expended to finance purchase of residential property* Up to 10,000
Husband/Wife/Alimony payments Up to 3,000
Disabled wife/husband 3,500
Ordinary child relief 1,000
Each unmarried child of 18 years and above who is receiving full-time education ("A-Level", certificate, matriculation or preparatory courses) 1,000
Each unmarried child of 18 years and who is receiving further education in Malaysia 4,000
Each unmarried child of 18 years and who is receiving further education outside Malaysia 6,000
Disabled Child 5,000 for assessment year 2014
6,000 for assessment year 2015 onward
Additional exemption for a disabled child age 18 years old and above, unmarried and pursuing a diploma or higher qualification in Malaysia or a bachelor degree or higher outside Malaysia 4,000
Life insurance and EPF Up to 6,000
Premium on new annuity scheme or additional premium paid on existing annuity scheme commencing payment from 01/01/2010 Up to 1,000
Deferred Annuity and Private Retirement Scheme (PRS) Up to 3,000
Insurance premium for education or medical benefit Up to 3,000

Please refer to the Inland Revenue Board of Malaysia's page on tax reliefs for further information regarding the items above.

Tax deductions

Tax deductions are similar to tax reliefs as they both allow you to reduce your chargeable income.

You are allowed to deduct up to 7% of your taxable income for gifts to government-approved charities or institutions. For example if you made RM42,000 last year and you donated RM3,000 to a government-approved institution, you could deduct RM2,940 (7% of RM42,000) from your chargeable income.

Tax Rebates

Unlike tax exemptions and tax reliefs which are reductions in your chargeable income, tax rebates are further reductions in the amount of tax you pay after you have calculated your tax for the year.

Individually, if your chargeable income is less than RM35,000, you are eligible for an RM400 tax rebate. If the combined chargeable income of both you and your spouse amounts to less than RM35,000, there is an additional RM400 of rebate available for both of you as a couple.

Tax rebate for zakat and fitrah are also available for Muslim taxpayers with the amount dependent on the maximum amount of tax charged.

Threshold for Paying Tax

The taxable income threshold for paying tax for tax assessment year 2014 is RM34,455.

Here's how we got to the figure:

Chargeable income = RM34,457 - RM9,000 (individual tax relief) - RM3,790 (EPF tax relief, 11% of RM34,457)

Chargeable income = RM21,667

Total tax levied on chargeable income = RM300 (for the first RM20,000) and RM100 (6% of the remaining RM1,667) = RM400

Taking into account tax rebate of RM400 for taxpayers with chargeable income under RM35,000, we get:

Total tax paid = RM400 - RM400 = RM0

Note that you'll still need to file your taxes even though you are not paying a sen of income tax. You can only skip filing your taxes if your taxable income is under RM30,667 as per LHDN's website.

Final Reminder

The 2014 tax assessment year follows the calendar year, so the 2014 tax year is effective from 1st January 2014 to 31st December 2014.

Note that your employer would be paying your taxes on your behalf using the PCB / MTD System (Potongan Cukai Bulanan / Monthly Tax Deductions), which does not take into account your additional tax reliefs besides the basic ones like individual tax relief, marital status and number of children. It's likely that the system overpays on your behalf.

Besides manual filing, taxpayers can start submitting their income tax return forms for assessment year 2014 through e-filing. The due date for the submission of return forms are as follows:

  • Employers (Form E) is 31 March 2015
  • Residents and non-residents with non-business income (Form BE and M) is 30 April 2015
  • Residents and non-residents with business income (Form B and M) is 30 June 2015
  • Partnerships (Form P) is 30 June 2015

Note that you must keep your records for 7 years from the date of filing so don’t throw away any receipts or evidence of tax reliefs properly.


Agree or disagree with this post? Questions? You also have your word!

  • Iz

    Hi, my wife was being retrenched on September 2015, under the "Type of Assessment", which one should I choose from?
    - Separate; or
    - (iv) ‘4’ if the individual is married with a spouse who has no income / no source of income or has income which is tax exempt.

    For your information, both my wife and I is not Join Account for the Tax submission.


    • RinggitPlus

      Dear Iz,

      We are not qualified to provide you with such advice, it would be best to visit your nearest LHDN branch and consult them directly.

      Thank you.

    • Beth

      Hi admin, was wondering what exactly is included in the sports equipment? I know what type of sports are included in this categories, but it is still vague about the equipment as it could be the shoes, the machine or the clothing. Any ideas? Cheers guys.

      • RinggitPlus

        Hi Beth,

        According to the LHDN link,

        Purchase of sports equiment of for any sports activity as defined under the Sports Development Act 1997
        An amount limited to a maximum of RM300 is deductible in respect of expenses expended by the individual for the purchase of sports equipment for any sports activity as defined under the Sports Development Act 1997.

        Sports equipment includes equipment with short lifespan
        e.g. golf balls and shuttlecocks but excluding sports attire,
        e.g. swimsuits and sports shoes.
        Paragraph 46(1)(l)

        Should you require any further clarification on the sports equipment, it would be best to stop by your nearest LHDN branch if you are unable to categorise your purchases.


      • Unclear

        Hi, I bought a notebook for my son in 2014 but I could not claim the deduction in my 2015 filing (i.e. YA 2014) as I had claimed one less than three years before. I am now eligible for the RM3,000 PC claim for YA 2015. Can I claim for the note book I bought in 2014 but unable to claim last year due to the 3-year-once limit? Thanks.

        • RinggitPlus

          Hi Unclear,

          As far as we are concerned, the laptop purchase has to be made during the assessment year in 2015 for it to be used for tax deduction for the 2015 assessment.

          You may cross check the information with LHDN should you have any doubts.


        • Ravi

          Car allowance is provided by the company in lieu of purchasing a car.I see that if a car is provided then there is BIK equivalent.Can i use that BIK amount as the taxable amount and deduct the car allowance from the earned income as i have to use that car allowance to purchase a car of equivalent value os the BIK category.

          • RinggitPlus

            Hi Ravi,

            We are not allowed to provide you with such advice, would be wise to stop by an LHDN branch and clarify your question with them.

            Thank you

          • denise

            Hi, Smartphone consider " Purchase of personal computer (once in every 3 years) " ??

            • RinggitPlus

              Hi Denise,

              Unfortunately smart phones do not fall under that category. It is strictly limited to desktops and laptops.

              Thank you

            • Jatinder

              1. company provide me the monthly travelling allowance. per 2015 tax deduction guidelines, a max of RM6000 is exempted.
              2. for "Past achievement award", "innovation award" etc, a max of RM2000 is exempted.

              while i was filling the e-Borang form, I couldn't find teh fields to fill-in these two deductions.
              what should I do ? how should i claim these two deductions ?


              • RinggitPlus

                Hi Jatinder,

                We do not provide such consultations and it would be best to cross check items such as these with LHDN should you want to make further inquiries.

                Thank you.

              • Su

                Hi, I am a salaried employee. But I started a side business (sole proprietor) on my own last year. As a salaried employee, I use Form BE. However, with a side business income, do I report income with a Form B but with my Employee Tax File number or do I have to apply for a separate tax file for the sole proprietorship? Hope you can help. Thanks.

                • RinggitPlus

                  Hi Su,

                  Unfortunately we are not qualified to provide you with such information.

                  It would be advised to stop by an LHDN branch and make your relevant inquiries there.

                  Thank you.

                • loy

                  hi, how should i deduct the donation to Unicef on my income tax? there are no column to fill in the figure to deduct.

                  • RinggitPlus

                    Hi Loy,

                    You may deduct your Unicef donations. You have to fill in the figure in "Approved Donations / Gifts / Contributions" Column.

                    Thank you

                  • May

                    Hi ringgit plus
                    Do we include bonus in the gross income

                    • RinggitPlus

                      Hi May,

                      Yes you supposed to include your bonus into your gross income.

                      Thank you

                    • Tina

                      Hi, I wish to buy an additional life insurance but my Life Insurance deduction has exceeded the tax limit of RM6,000. Kindly advise if I can claim in Medical Insurance deduction of tax limit RM3,000? Thanks.

                      • RinggitPlus

                        Hi Tina,

                        As far as we are concerned the allocations are specifically for those items.

                        If you would like further clarification we would recommend you visit an LHDN branch.

                        Thank you

                      • kasturi sallapan

                        hi...why my employer ask my income tax account and branch? tq

                        • RinggitPlus

                          Hi Kasturi,

                          Your employer usually needs details such as that to setup and make payments on your behalf to income tax on a monthly basis .

                          Do cross check with your employer on the reason if you are unclear.

                          Thank you

                        • Kat

                          I no longer work in Malaysia for several years and my income is from employment overseas. Do I still need to fill income tax (submit the eBorang) as zero income? I ask this because I checked my LHDN online system and in my eBorang section, I saw that there are eBorang forms for this year and last year which can be opened. Appreciate your advice. Should I tell LDHN to 'closed' my tax account?

                          • RinggitPlus

                            Hi Kat,

                            It all depends on your terms of employment. If you are working in another country on expat terms or are you working overseas on your own terms.

                            There are many types of scenarios such as:
                            - salary drawn in Malaysia, or
                            - working overseas and your income is taxed overseas itself, or
                            - combination of the two where you are getting paid in the country and overseas
                            - If you have property rental income in Malaysia

                            It would be best for you to visit an LHDN branch to clarify the full details and ensure you get the most accurate advice as well as clear all the doubts you may have.


                          • Amber

                            Hi, is the tax relief only available for expense in Malaysia? How if I buy books online from overseas? Thanks.

                            • Amber

                              Hi, is the tax relief only available for expenses in Malaysia? If I buy books online from overseas, does it entitle to the tax relief? Thanks.

                              • RinggitPlus

                                Hi Amber,

                                That is a good question. As far as the purchases of books, it is limited to ones bought in Malaysia.

                                It would be best to visit your closest LHDN branch to verify if there is some way you can include these purchases into this category despite buying from overseas.


                              • Joseph Wong

                                Dear Sir, I just wanted to know whether reimbursement to an employee taxable.? My friend who is an employer wanted to know the answer.She gave a fixed reimbursement of RM300-00 monthly to her staff for their various errant done by them (eg travelling to the bank to deposit cheques, giving notices to customers etc). It is like reimbursing them for out of pocket money spent by them.

                                • RinggitPlus

                                  Hi Joseph,

                                  If you are referring to fix allowances, then they are taxable.

                                  If you need further clarification I do suggest you drop by an LHDN office to see if there is anyway it can be exempted.


                                • lloi

                                  Hi, i am a Malaysian currently working and residing in Singapore and pay tax in Singapore. i bought a property in Malaysia with a local housing loan. The full monthly repayment will not start until April 2018 and the house is not ready yet, hence has no rental or any gain yet. As such, do i need to fill income tax in Malaysia? I received a letter from inland revenue requesting me to report my income as i owned a property in Malaysia - do i need to file form M? the property was bought in April 2015. Thank you.

                                  • RinggitPlus

                                    Hi Iloi,

                                    If you're not earning your money in Malaysia, you don't have to file your taxes. In fact, until you start earning around RM36,000 annually or above in this country, you don't have to do anything.

                                  • Alim

                                    Hi, my question about Medical expenses for parents ... Well im an expatriate working in malaysia since june 2014 till now. I have 00.00 tax in 2014 because of my family dependent(wife & children) And i paid rm2218 for year 2015. I have paid for my parents medial expenses around rm 5000 in january 2016 can i get deduction? By the way my parents not living in malaysia..please advice..tq

                                  • MAH

                                    Dear Admin, appreciate your expert opinion on my allow related per say to my outstations activity
                                    Fyi my entitlement are as follows
                                    1) lodging allow whch is 50% of my hotels rate and my entitlement for hotel is RM500/nite ;
                                    2) food allow RM180/day
                                    3) unreceipted RM100/day
                                    of course this only avail when am on company official business, hwr the total accumulated claimed per month is capped to RM8k/month

                                    The question are
                                    1) if my outstation claimed is paid max/capped at RM8k per month will it be considered as taxable income? Eventho the nos of travelling days per month are varies?

                                    2) are the mentioned type of allow
                                    Lodging, food allow n the unreceipted are non taxable?

                                    • RinggitPlus

                                      Hi MAH,

                                      What you're describing falls under perks and benefits in kind and are taxable. Even the unreceipted.
                                      You should think of anything extra that the company is paying for as perks and benefits, and as such, taxable as part of your income.

                                      We hope this helps!

                                    • sem

                                      if I bought pc and claim on 2013, can I bought and claim again on 2016? or have to wait until 2017?
                                      thank you.

                                      • RinggitPlus

                                        Hi sem,

                                        Since 2016 is 3 years after 2013, you don't have to wait another year to claim. If you want to be super extra careful though, waiting a year is the safest bet.

                                      • Anaanthanpillai

                                        Hi. Does purchase of iPad ? Which I can use pretty much for microsoft word (typing), PowerPoint presentation , and Excel, be considered as purchase of personal computer?

                                        • RinggitPlus

                                          Hi Anaanthanpillai,

                                          Unfortunately, beginning Year Assessment 2013, tablets such as iPads, Android tablets or other similar devices no longer qualify as personal computer.
                                          The definition of computers now is strictly confined to desktop computers and laptops. (Ref: )

                                          Hope this helps!

                                        • Jimmy Lim

                                          Hi, I used to work in Singapore for a while. Now is about time to withdraw savings in Singapore Central Provident Fund.
                                          If I remit the money back to Malaysia, is it taxable?

                                          • Ringgitplus

                                            Hi Jimmy, thanks for the question! As far as we know from our experience, income earned overseas and remitted should not attract income tax but you may be subject to other taxes such as GST on the remittance service, etc. :) Do check with your personal accountant or auditor for other possible tax liabilities.

                                          • Henry Wong

                                            can expenses for monthly company dinners (internal, no outsiders or business associates) be tax exempt?

                                            • Ringgitplus

                                              Hi Henry, I am not sure what you mean by company dinner expenses. Shouldn't these already be reimbursed by the company and thus not an expense per se for the employee?

                                            • Gwen Ling

                                              Hi, I have 3 properties rental income under my personal name, every year I submit BE form to LHDN, but now I found out the following information from LHDN - rental income received from 2013 to be reported in Form B. May I know do I need to change it to B form? Thank you.

                                              • Gwen Ling


                                                • Ringgitplus

                                                  Hi Gwen, thanks for your query! There is already a rental income box in the usual BE form. This directive is confusing to us too! Perhaps you'd like to ask your personal tax auditor? Sorry we can't be of more help!

                                                • Elaine Ong

                                                  Hi, my employment is in Singapore and salary is being paid to my Singapore account but I need to travel between Malaysia and Singapore for quite often. If I stay more than 183 days in Malaysia, does that mean that I have to pay tax in Malaysia? or i only have to pay tax to Singapore Inland Revenue? Thanks.

                                                  • Ringgitplus

                                                    Hi Elaine, as far as we know if you are earning in Singapore and being paid as such, you should not need to pay tax here.

                                                  • Mek

                                                    HI, if I declare single tier dividend, will it be able to reduce the chargeable income of the company? Thanks

                                                    • Ringgitplus

                                                      Hi Mek, unfortunately we cannot give tax advice on company taxes. We recommend you speak to an auditor about that. So sorry and thank you for stopping by.

                                                    • Kem

                                                      11% of RM42,000 is RM4,620 not RM4,260.

                                                      • Ringgitplus

                                                        Good spot, Kem! Gosh, a very unfortunate transposition of numbers there. We've fixed it! Whilst it does make the numbers wrong in the example; the process of calculation remains. Thanks for the heads up!

                                                      • Raymond

                                                        Hello, I would like to know on behalf of my employer, when I pay back or reimburse the travelling expenses back to my staff in their payroll, do I need to put them as taxable or not? Thanks :)

                                                        • John

                                                          Hi, you wrote in the tax relief 'Purchase of personal computer (once in every 3 years)' to be RM5000. I thought it was RM3000?

                                                          • RinggitPlus

                                                            Hi John, thanks for the spot. We reckon it was a typo. Fixed it.

                                                          • Hi, can a freelancer deduct his monthly self contributions to EPF in order to reduce overall taxable income? Since the company doesn't deduct any on his behalf? Thanks

                                                          • Hannah

                                                            Hi, would a f/t overseas registered student, who has a stipend paid for from abroad, find the stipend taxable for the months that they are working on their PhD at a Malaysian institution? Thanks

                                                            • Guna

                                                              Hi, the individual tex relief of RM9,000 is automatically deduction or need to submit any document ?

                                                              • RinggitPlus

                                                                Hi Guna, the tax relief for individual does not require any documentation.

                                                              • MC

                                                                Hi, I am now receiving money transferred into Malaysia for consulting jobs that I am doing overseas once a month. Is this money liable for tax?

                                                              • AAP

                                                                Hi, i'd been working here in Malaysia since June and complete 182-days residency requirement last November 2015. from June to November, foreign tax (26%) was deducted to me because i am considered Non-resident. from December 2015 until now, normal resident tax was deducted to me. is there a possibility that i can have a tax refund from my expat deduction last time? Appreciate any response. Thanks a lot

                                                                • RinggitPlus

                                                                  Hi AAP, please note that we are not authorised to give you official taxation advice. That said, based on what you have mentioned and looking at the terms for residency (the 182 days, it appears right that you were subject to foreign tax and then reverted to resident tax after the 182 days. You may do the regular filling to see if you have overpaid after calculating all the reliefs and rebates but it looks unlikely for you to have the deduction refunded. However, we do recommend you see a professional auditor to help you do your taxes!

                                                                • Kenny Lee

                                                                  Dear Manager,
                                                                  Please provide me with more details on "Medical expenses for parents". Also, do badminton shoes come under "Purchase of sport equipment for sport activities"?

                                                                  Thanks and regards

                                                                  • RinggitPlus

                                                                    Hi Kenny, thanks for shooting us your questions. Tax relief with regards to 'Medical expenses for parents' includes special consultation, regular annual check-ups, hospitalisation, early cancer check-up and even dental costs, but are limited to extraction, filling, scaling and cleaning. To answer your question about sporting equipment, yes shoes do count as sporting apparatus. This category covers a range of sporting essentials (required to perform the sport), except for things gym related (eg: gloves), which all come under an entirely different category of relief.

                                                                    • Cathy

                                                                      Correction: Sport shoe does not count as sport equipment for sport activities. Please read the note: "Peralatan sukan termasuk alat-alat
                                                                      yang mempunyai jangka hayat yang singkat seperti bola golf dan bulu tangkis tetapi tidak termasuk pakaian sukan, contoh: pakaian renang dan kasut sukan. Perenggan 46(1)(l) "

                                                                  • muthu

                                                                    Hi,If Net salary RM12600, how much my Tax?

                                                                    • RinggitPlus

                                                                      Hi Muthu, thanks for reaching out to us. Is that your monthly or yearly income? The tax you owe will differ based on your reliefs but also on the tax tier for the year. Are you looking at income for 2015? If so, we will be updating our article soon to cover the calculations for this. Stay tuned!

                                                                    • JL

                                                                      Hi, in regards to education fee for children. company does reimburse the education fee to the employee(Expats) after he made the payment to the school. The invoice/bill under the employee name and original invoice/bill together with receipt will be submitted to company for the claim reimbursement. In this case, is this education fee taxable? Should the employee declare tax for the amount that he gets reimbursed in his current month salary? Appreciate your advice.

                                                                      • RinggitPlus

                                                                        Hi Jocelyn,
                                                                        Thanks for getting in touch with us. Unfortunately, we are not authorised to provide individual tax advisory. However, a quick look at LHDN's website indicates that; "Scholarships
                                                                        Any monies paid by way of scholarship to an individual whether or not in connection with an employment of that individual is exempted from income tax."

                                                                        To be sure if the reimbursement you receive qualifies as a scholarship for LHDN's purposes, you would need to either contact LHDN or a professional auditor/tax advisor. Hope this helps!

                                                                      • Gaurav

                                                                        I was working on EP (Work Visa) from 18-Dec-2015 to 20-Jan-2016 in Selangor, Malaysia. I got my EP cancelled on 20-Jan-2016 and left Malaysia the same day.
                                                                        Tax was deducted from my Salary for this time period. My stay in Malaysia on EP was only 34 Days i.e from 18-Dec-2015 to 20-Jan-2016

                                                                        Can I get my Income Tax Refund and how I can get it.
                                                                        Really appreciate your help on this.

                                                                      • Lang


                                                                        What's the current threshold for filing taxes this year (2015/2016)?

                                                                        And what are the filing thresholds for previous years?

                                                                        Can't seem to find the info on their website, your link ( didn't work.

                                                                        • RinggitPlus

                                                                          Hi, you can try this updated link:

                                                                          The information supplied is as follows:
                                                                          An individual who earns an annual employment income of RM25,501 (after EPF deduction) has to register a tax file.

                                                                          With effect year 2010 an individual who earns an annual employment income of RM26,501 (after EPF deduction) has to register a tax file.

                                                                          With effect year 2013 an individual who earns an annual employment income of RM30,667 (after EPF deduction) has to register a tax file.

                                                                          Nevertheless, with effect year 2015 an individual who earns an annual employment income of RM34,000 (after EPF deduction) has to register a tax file.

                                                                        • Alex

                                                                          Hi,can home base business declare 100k for income tax?and what is the maximum that can declare for home base sole propriertor?can you advice?

                                                                          • RinggitPlus

                                                                            Hi Alex,
                                                                            Thanks for writing in. I am not sure what you mean by declaring 100k as tax. Does this mean you would like to declare RM100K as your company's income?

                                                                            In any case, we are not able to offer personal taxation advice but we can look it up on LHDN's site for you if we understand the query.

                                                                          • Hing

                                                                            Hi, where can I find a list of approved institutions for the donations deduction? Is donation to chinese school like SJkc eligible?
                                                                            Is the Rm1000 child deduction applies to each parent? If parents file separately, both the father and mother can claim this RM1000 relief? thanks.

                                                                            • RinggitPlus

                                                                              Hi Hing, unfortunately there isn't a list of institutions per se but there is a list of types of institutions ( Schools don't appear to be in the list. You could give LHDN a call to find out more.

                                                                              As for the question about the relief for children, only one spouse may claim that and it is recommended that the spouse with a higher income does so.

                                                                              Hope that helps!