Every individual in Malaysia are liable to tax on income accrued in and
derived locally or received in Malaysia from overseas. Income earned
outside of Malaysia and remitted back to Malaysia by a resident
individual is exempted from tax. A non-resident individual will be taxed
only on income earned in Malaysia.
With effect year 2010 an individual who earns an annual employment
income of RM26,501 (after EPF deduction) has to register a tax file. If
the employee is eligible for PCB (or also known as MTD or STD)
deduction, he is advised to register an income tax file before PCB is
implemented. Application to register an income tax reference number can
be made at the nearest IRBM branch.
The rate of tax depends on the individual's resident status, which is
determined by the duration of his stay in the country as stipulated
under Section 7 of the Income Tax Act 1967. Generally, an individual who
is in Malaysia for at least 182 days in a calendar year is regarded as a
A resident individual is taxed on his chargeable income after deducting
personal reliefs at a graduated rate from 0% to 26% with effect from the
year of assessment 2010.
Effective from year of assessment 2010, a non-resident individual is
liable to tax at the rate of 26% without any personal relief. However,
he can claim rebates in respect of fees paid to the government for the
issuance of an employment work permit.
Please check on our tax rate
tables the tax amount for your total income.
Shall you have any question regarding income tax or need any further
information on taxation issue, please contact:
Jabatan Pemprosesan Maklumat
Lembaga Hasil Dalam Negeri Malaysia
No. 3, Jalan 9/10
43650 Bandar Baru Bangi
Tel : 03 - 8913 3800
Fax: 03 - 8922 1801
Office Hours: Monday - Friday : 8:00 am - 5:00 pm
General Inquiries / Suggestion / Complaint : 1-800-88-5436 / 603-7713 6666
Salary Group (No Business Income) : 03-7713 6699
Business Group (Self Employed / Partnership) : 03-7713 6677
e-Filing : 03-7713 6655