Hi i have a quick question. Say if i have a source of foreign income do i have to pay tax in Malaysia? DO you guys declare your income from foreign stocks?

Foreign income that paid by a foreign company in foreign country if bring back to Malaysia, is tax free.

oh ok... how bout profit i make from trading stocks? I am using a US brokerage, I dont get tax in US but do i have to pay the tax in Malaysia?

nope. o oredi pay tax in d origin country. no double taxing iz practiced in d world for income, any kind.

I've been told by income tax personnel that it doesn't matter where the money is from, as long as you are resident in Malaysia at the time the income is accrued, it is taxable. Unless you are physically overseas and working in overseas with a foreign company giving the employment.

But most people I know also never declare this income.

Not true, the rule already changed since 2004. To encourage ppl to bring in the foreign income back to Malaysia, u can check with your tax agent, or call up LHDN hotline to claify this.

You dont have to pay any tax on foreign income generated in overseas paid by a foreign company even u r a tax residents that stay more than 182 days in Malaysia.

Pls also check the following link:-

http://biz.thestar.com.my/news/story.asp?f...88&sec=business

http://www.publicmutual.com.my/documents/M...emptfromtax.pdf

This post has been edited by cheahcw2003: Oct 23 2009, 11:15 PM

But for stocks i was not taxed, i brought this up with my brokerage and they told me that unless i am a US citizen they are not allowed to tax me. If you are a US citizen they will deduct the tax from your acct directly. Iif you transfer more than RM10k into you bank acct you will have to declare it. So technically they have proof that i have additional income.

This post has been edited by Goneraz: Oct 23 2009, 11:10 PM

@goneraz
(sorry I tumpang your thread )

Me currently employ under Japanese MNC (in Singapore) but work in Johor Bahru. So means no need to pay income tax right? I asked LHDN on 2005 and their said no need to pay. However last week I asked again but now never said need to pay, only asked me to register with LHDN.

They wanna curik my money is it?

I tried searching LHDN website but cannot find the info

edit:

yahoo, find the link in IRB website. really no need to pay tax . Good news for you too goneraz

Link

This post has been edited by saiga: Oct 24 2009, 02:29 AM

I tried to search on LHDN website but also cannot get, luckily u found the following info in LHDN website:-

Income Remitted from Outside Malaysia
With effect from the year of assessment 2004, income derived from outside Malaysia and received in Malaysia by resident individual is exempted from tax.

I had the same info when called up LHDN hotline and also from my tax agent.
Bravo. Saiga.....

Thats awesome.. Thanks guys....I have been paying BUTA punya tax for years.. dunno if i cna get a refund

But it all thanks to you bro . If not I nearly lost few K's coz already took the registration form

---

Added on October 24, 2009, 3:07 pmDun give them a chance, ask them to refund all !

p/s : then can blanja me n cheah

This post has been edited by saiga: Oct 24 2009, 03:07 PM

So if I earn several thousand ringgit a month from Google Adsense + USA affiliate marketing activities, I don't have to declare to LHDN?

This post has been edited by socratesman: Oct 25 2009, 12:59 AM

income that is deemed derived from malaysia is taxable, since your foreign income is not from malaysia then it is not taxable.

There was some discussion on income from Googles. My opinion is that it is not taxable. However, there are some who think that it is taxable.

You can read up My Webpage. Please read also the comments.

working for mnc and the pay released within local meaning u for sure entitle into the tax bracket.

for those who work outside than malaysia and pay remits back to malaysia will not be entitled into tax bracket.

however, if you remit the investment back from overseas to malaysia and it is not taxable but it shall be taxed at the respective country of your investment

Erm ... not quite true. But i do not have more concrete information on that now.

Anyway, we'll take Goneraz case for example. The profit he earned from stocks in the US is not taxable by the US government because he is neither a US citizen nor a registered US taxpayer. When he TT that money back to Malaysia, he doesn't need to pay a cent to LHDN either as that is considered a foreign income.

Another example is when someone (Malaysian) has some stock trading activities outside Malaysia and all the profit is deposit directly into his/her Singapore bank account, the Singapore IRB cannot tax him/her because he/she is not working in Singapore. When he/she TT that money back to Malaysia LHDN can't tax him/her either.


Goneraz, not only US citizen needs to pay tax to the IRB but also US PR or whoever holding a US working pass etc.

This post has been edited by MilesAndMore: Oct 26 2009, 10:54 AM

Hi guys,

I know this is kind of outdated but I have a question regarding the issue discussed above. Hopefully someone can provide some advise as the links above are dead.

The scenario as below :

1. I am currently engaged by a local Sdn. Bhd. and paying my taxes
2. Assuming that I am hired by a Pte. Ltd. company based in Singapore,
but I will be working in Malaysia expanding the local market for them.

I believe that if I am paid in Singapore, I will have to pay non-resident tax which amounts to 15% .

Another option I'm looking at is to request that monthly salary be TTed directly to my bank account in Malaysia. In this situation, would I need to pay tax since although the money is from a foreign source, I would actually be "working" in Malaysia.

You still need to pay SG non-resident tax... no running away from this one. Paid by SG company, employment contract by SG company, pay SG tax. It will auto deduct and a portion goes to CPF, you cannot run away unless the company is willing to break the law.

You can TT the money anywhere your heart desires, it is where the money originate from matters.

This post has been edited by gark: Jan 23 2013, 03:07 PM

Hi guys.

I got a silly question hope u guys don't mind - what if i want sell things online but not to Malaysian market (ie, from foreign market) still taxable? Coz i'm thinking of registering a business....most probably the sole proprietor type.

TQ

This post has been edited by cinderlala: Apr 7 2013, 01:24 PM

It is not about where you sell your product to, it is about where you perform the sales or operate from.