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 Income Tax Issues

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keeseng12
post Apr 7 2009, 09:28 PM

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Please help me out with this portion of the e-BE form.

CODE

B. PENGIRAAN PENDAPATAN BERKANUN SEWA
1.1 PENDAPATAN KASAR SEWA                                                _______
TOLAK: Perbelanjaan yang dibenarkan:
i. Perbelanjaan faedah atas pinjaman yang dilakukan       _______
  semata-mata untuk menghasilkan pendapatan sewa
  tersebut
ii. Cukai Taksiran/Pintu                                                  _______
iii. Cukai Tanah                                                             _______
iv. Insurans                                                                  _______
   Perbelanjaan hasil lain
v. Penjagaan dan pembaikan                                         _______
vi. Memperolehi perjanjian sewa                                    _______
1.2 Jumlah perbelanjaan (i hingga vi)                             _______
C. PENDAPATAN BERKANUN SEWA (B1-B2)                               _______


I understood that this is no longer available in BE 2008 form as it has been simplified. What my question is that i have problem in declaring the real amount of rent that i obtained from the house. I need to declare it since the house is bought under my name, right?

The story is like this. This house (it's a flat/apartment) was bought by my parent under my name (more to just using my name to buy the house).
The amount of loan that they need to pay every month is RM311.
They're renting it out for RM500 per month.
The Cukai Pintu is RM140 per every half year.
The Cukai Tanah is RM80 per year.
Maintenance is RM50 per month.

In the new BE 2008 form, in row C4, how should i fill up the Rent/Royalty and Premium box? Please help me out.
keeseng12
post Apr 8 2009, 07:52 AM

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QUOTE(GeminiGeek @ Apr 7 2009, 11:40 PM)
You have to write a letter to them and redo your tax computation. Then submit them to the nearest office, and wait for their reply. However, doing amendment usually invites them to do audit on your tax filing. Good luck.
Don't worry about their mistake. Let's say your EPF contribution (your portion) should be RM1,000, but your employer deducted RM1,200, you still can claim RM1,200 relief, because it is their mistake. Just file your tax based on your EA form. Unless you've been paying RM1,200, BUT your EA forms appears that you're only paying RM1,000, if that's the case, go slam the door of the department that prepares your EA form.
The bayaran tunggakan part? Well, when you do your e-filing, there's a part to declare bayaran tunggakan stuff. Do login to your e-BE and see for yourself.
For your case, you have to submit B instead of BE. Declare your salary income in the Penggajian part, and declare your part time business in your Pendapatan Berkanun Perniagaan part. Do fill in the maklumat kewangan perseorangan and fill in your akaun perdagangan & untung rugi if you want to claim the travelling and other related expenses. Since you're earning 100k a year, I would recommend you seek help from Tax Agents.
Login to your e-BE and use the HK-3.
The rental income in your form BE is the net of your annual rental income. Make sure you prepare a rental statement similar to the above for your own record, and just in case they may want to audit your tax filing.
*
Thanks for your reply. Does it means for my case over here, the net annual income from the rental will be similar to this calculation?

((RM500-EM311-RM50) x 12) - (RM280+RM80))?
RM500 is the rental
RM311 is the amount of loan need to pay to the bank
RM50 is the monthly maintenance fee
12 months per year
RM280 is cukai pintu
RM80 is cukai tanah

is that correct?
keeseng12
post Apr 8 2009, 03:54 PM

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QUOTE(gtchye @ Apr 8 2009, 12:05 PM)
Tax on dividends received under the single tier dividend system are considered as final tax.
Dividends received under the imputation system can still claim Section 110 credit.
You have to read what your dividend vouchers say.


Added on April 8, 2009, 12:13 pm
It is interesting to explore this :-

If the house is registered under your name, can your parent sign a rental agreement with the tenant and have the rental paid to them instead of you ? (assuming that your parents have no other income or in a lower tax bracket).


Added on April 8, 2009, 12:15 pm
You are not allowed to deduct the whole loan repayment amount. Only the loan interests.
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If my parent sign a rental agreement with the tenant and have the rental paid to them instead of me, what will happen? does it mean i don't need to declare the rent income? all the time, the tenant pay the rent to my parent but i'm not sure if the rental agreement is mentioning their name or mine.

If I only allowed to deduct the loan interests, that's means the formula will be
((Rent-LoanInterest-MaintenanceFee)x12)-(Cukai Pintu+Cukai Tanah)
is that correct?

My next question will be regarding previous undeclared income, on the row "PENDAPATAN PADA TAHUN KEBELAKANGAN".
I got an EA form from my previous company regarding undeclared income on 2007.
The EA FORM is stating the amount i earn, the EPF i contribute, and the PCB that i've paid and I understood that i can fill that up in the row "PENDAPATAN PADA TAHUN KEBELAKANGAN". BUT i can't fill up the amount of PCB that i've paid.
Does that mean that I need to add up the amount to the 2008 PCB?
keeseng12
post Apr 8 2009, 04:52 PM

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QUOTE(b00n @ Apr 8 2009, 04:40 PM)
No, you can't do that.
You have to only put in the total PCB paid excluding your "bonus paid out" PCB.

I did that mistake all this years and last year they actually charged me back for 3 years. They recalculate and asked me to pay as I've under declared.

This year, I've put in the bonus paid out in "PENDAPATAN PADA TAHUN KEBELAKANGAN" and less out that specific PCB under the "PCB paid" section. wink.gif
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thanks, b00n. just to verify, here's my situation:
I have small amount of income undeclared in 2007 which is around RM2.5K. EPF contribution let say is around WM300. and the PCB during that time is RM137.
I know i need to put in all these data in PENDAPATAN PADA TAHUN KEBELAKANGAN but there's no column for the PCB that i've paid that time (which is RM137).
and i CANNOT add RM137 into the 2008 PCB, is that correct?
if i can't, what will happen to this RM137 that i've paid previously?
keeseng12
post Apr 9 2009, 04:17 AM

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QUOTE(b00n @ Apr 8 2009, 10:32 PM)
Correct.
Previously I added the RM137 into total PCD deducted/paid. That's why last year I received the notice to pay up due to I've constantly done that for 3 years. i.e. I under declared. I learned the mistake through the hard way sweat.gif

The RM137 would be in their system as it's PCB already paid. They can trace back, so no worries on that.
In the event if it's not enough to cover, they would come back to you and request for money.
Otherwise, you can actually do a yearly check on your account to see whether or not there's any excess payment and the ppl in LHDN would advise you on what to do.

You can actually use their help line. Quite efficient; I phoned in through the help line to request for installment payment for 6 months. wink.gif


Added on April 8, 2009, 10:36 pmYou have to compute the annual income to know.
The common misconception that everyone had is "no need to declare" if below certain amount of pay. It's wrong.
Any income also need to declare. The only issue is whether or not need to pay income tax.

Last time the officers of LHDN would tell you no need to declare as it's quite manual for them also. But since it's computerised, there's no worries.
The first time I declare, I'm requested to back date 2 years because there's some PCB contributions during than, so can't escape. But if you're sure you never got any PCB deduction before, than can close one eye no need to declare. But if you do....it's already in their system. You can't run.
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thanks, b00n!
that solved my issue regarding the undeclared income in previous year.

Issue left is regarding the housing rent that i'm not sure how to declare.
tried to call the helpline today at around 6 something, the automated system talked so long, end up i gave up and close the phone since i'm in a hurry. will try to call some other day. tongue.gif


keeseng12
post Apr 10 2009, 07:49 AM

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have a question here.
income tax is for previous year of assessment, which mean this year we are doing the income tax declaration for year 2008.
here's the question, does it mean from Jan '08 to Dec '08 or from Mac/April '08 (the month we pay tax) to Mac/April '09?

reason behind this question is that suddenly i receive another EA form from my previous company. i'm really confused to the max here of which amount to declare. at first was clear till my previous company suddenly send me another EA form.
keeseng12
post Apr 10 2009, 04:45 PM

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QUOTE(cute_boboi @ Apr 10 2009, 09:46 AM)
Declare tax from Jan-Dec.

Look closely at your previous company EA form. If it is for salary Jan'08 to Dec'08, then you will declare it in year 2009. If it is salary for Jan'09 to Mar'09, then keep the EA form and declare it in year 2010.
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thanks for the clarification.

the situation is like this.
I was working for my previous company from 2007 till May 2008 and join new company on the following week till present.
Previously, after i quitted my previous company, they gave me an EA form indicating an amount of money (which i presume it should be salary from Jan 08 till May 08). The tile of the EA form is written "Till December 2008". (let say the amount of gross salary is around RM11K)

Then yesterday, i received an additional EA form from my previous company again. the amount of gross salary is around RM2K. which making me believe that it should be for May 08 (that month itself). It's quite confusing.
keeseng12
post Apr 11 2009, 09:52 AM

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QUOTE(cute_boboi @ Apr 10 2009, 04:52 PM)
Call up and get clarificaiton from your previous Jan-May'08 employer. If it is clear up as e.g. salary after leaving or bonus paid, etc. then just total up for Penggajian:
Jan-May'08 + May'08 extra + Jun-Dec'08 new job
= 11k + 2k + ??k
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thanks a lot. i called LHDN that day and ask regarding if they provide any consultation on how to declare your income tax. something like you take your documents to accountancy firm for them to help you to fill the income tax. they said yes, they do provide such help. but is it wise idea? it's like they will dig out my record and it'll be hard for me to "run tax". tongue.gif

but here's the situation, i have an amount of income undeclared in 2007 and i've paid the PCB (RM137) and i feel over these years, i been paying more than what i should be. seeking for direct help from LHDN might help me to clear up everything. but seriously, i'm not sure if this is wise move. can anyone help me in this? or anyone tried their help before?
keeseng12
post Apr 13 2009, 08:07 PM

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QUOTE(mtsen @ Apr 13 2009, 02:23 PM)
if u r in penang I suggest u do go lhdn.  they may even say, kenapa u kasih tahu, ini tak payah punya ...

worst case scenario is you file it correctly and pay more, its a good lesson to learn from the reliable correct source

trust me, this kacang putih not consider run tax, your experience after visiting them may help you really run tax in future ... go lah.

other states not sure coz no first hand experience, but above should generally apply everywhere smile.gif
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thanks for the feedback, mtsen.

Ya, i'm from penang. last week i've decided to let accountancy firm do it for me, due to some complication. should have seen your feedback earlier and turn up to the LHDN for their free advice. hahaha.

anyway, thanks a lot for your feedback.
keeseng12
post Apr 15 2009, 11:13 AM

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QUOTE(ronnie @ Apr 14 2009, 02:51 PM)
No... there is a special column for it on the BE form.
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ya, there's a column where you can fill up your previous undeclared income. forgot exactly in which alphabet's row but the title is sounded like "PENDAPATAN PADA TAHUN KEBELAKANGAN"
keeseng12
post Apr 17 2009, 04:14 PM

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QUOTE(ronnie @ Apr 17 2009, 03:52 PM)
1) Your EA should show Salary : RM30,000 (RM2,500 x 12). Section G would show the RM6000 (RM500x12)
You don't get tax relief but your declare a lower income of RM30,000 (instead of RM36,000)

2) Sewa portion if you have a house which you rent to other people for income. In your case, it doesn't apply to you.
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it should be RM35000, if your net taxable income is below RM35000, you will be able to receive tax relief of RM350.
please correct me if i am wrong.
keeseng12
post Apr 17 2009, 08:22 PM

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QUOTE(ronnie @ Apr 17 2009, 04:29 PM)
Ain't RM30,000 lower than RM35,000 ?
How do you get RM35,000 ?
RM350 is known as Tax Rebate not Tax Relief.... Tax Rebate is to reduce the total payable tax.
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ops, my bad. ya. what u say is correct. if total net taxable income is below RM35000, you will get tax rebate of RM350 from the total tax that u need to pay.

Sorry for the mistake.
keeseng12
post Apr 18 2009, 09:43 AM

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QUOTE(mtsen @ Apr 17 2009, 10:49 PM)
not work in malaysia = no pay tax to malaysia


Added on April 17, 2009, 10:50 pm

all books, keep receive if audit occurs
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ya, all books, just except pornographic and restricted books (bahan bacaan larangan).
Keep receipt for audit. Understand that the receipt ink might fade over time. there was once the LHDN officer came to give a seminar during work hours, he told us that we can use a pen to write over the receipt to preserve the visibility of the receipt.
keeseng12
post Apr 18 2009, 10:01 AM

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QUOTE(wufei @ Apr 18 2009, 09:46 AM)
Who knows is pornographic.

They dont chop on your receipts BUKU LARANGAN or Pornographic.

If the title is KAMASUTRA, do you think this is a buku larangan?

It can be a novel with words and without pictar.
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relax la, i just stating what's written in the tax relief form ma, cry.gif

agree with you, they can't really judge whether it's restricted reading material as if there's a list of restricted books in their database.
but of coz, not for Playboy magazine. tongue.gif
keeseng12
post Apr 20 2009, 11:50 AM

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QUOTE(BoltonMan @ Apr 20 2009, 11:37 AM)
oh really ? because last year my friend said can update back ...

btw, if you put the figure wrongly and if they found out, you only pay the amount that you need to pay ... but if you create fake receipt to con them then is different case and can go to jail already ...
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you can't reupdate the e-filing. LHDN officer has confirmed that during a seminar in my work company.

What you need to do is to go to LHDN and get a form where you can fill in the correct value and let them know.
keeseng12
post Apr 20 2009, 02:25 PM

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QUOTE(Lord_Ashe @ Apr 20 2009, 02:08 PM)
Thanks trevor. I think that should help just fine. I haven't logged in to do my taxes yet (will do it at home) but isn't there a space for an employer code? So do I enter just one?
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for employer ID, just put in your latest employer's code (your current company).

for the total gross income, just add both.

i was having the same situation as well. and suddenly my previous company sent me second EA form, which mean i have 3 EA form (2 from previous company and 1 from current company). just add all together and that will be your employement income.
extra note: the second EA form from previous company supposed to be bonus/taxable incentive. just in case you receive 2nd EA form from previous company, don't worry. call them to check if you want to.

keeseng12
post Apr 22 2009, 10:41 AM

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QUOTE(princess_autumn87 @ Apr 22 2009, 10:08 AM)
can i modify my e-filing after i submitted?i need to change some value which i filled wrong before
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once submitted, you can't change. if you didn't click on Submit, then you can edit the value.

Once submitted and if you want to make any changes, you need to go to LHDN office to fill up the form manually, telling them which value that you would like to edit.
keeseng12
post Apr 24 2009, 08:22 PM

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QUOTE(sam240 @ Apr 24 2009, 08:17 PM)
no everyone can online easily......like me....  sweat.gif
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i don't think that the e-be form in LHDN website is available in excel sheet for you to download.

not sure but u can try this one, www.taxsaya.com
keeseng12
post Apr 27 2009, 04:06 PM

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QUOTE(nothingz @ Apr 27 2009, 03:43 PM)
Bonus 2007 and EPF put it into INCOME OF PRECEDING YEARS NOT DECLARED

i think the PCB amount for Bonus 2007 has been included in the EA Form PCB section there, isn't it?
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yes, the bonus, salary, and EPF (for preceding years) need to put into "INCOME OF PRECEEDING YEARS NOT DECLARED"

no, you can't add up the PCB amount from preceeding years into the PCB 2008 calculation. you can check the previous post by b00n in this topic where both of us were discussing about this and b00n has confirmed that we can't do so.
you can only put in the amount of PCB for year 2008 for YA2008 income tax.
keeseng12
post Apr 27 2009, 04:41 PM

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QUOTE(nothingz @ Apr 27 2009, 04:28 PM)
actually there's no difference, in the end it will come out with the same figures. 

even if you want to put the PCB amount separately, where are you going to put the PCB amount in the "INCOME OF PRECEEDING YEARS NOT DECLARED"?  there are only 4 columns available and nothing mentioned about the PCB amount.

for what i usually do,  the PCB amounts will be added up to put in the Scheduler Tax Deduction slot.  Then you calculate your tax for 2008 and the revised computation for 2007.  Nett off the balance of tax to be paid/refund between 2007 & 2008 then pay the balance/wait for refund.  so far IRB accepts it
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exactly. the end result will be the same. but if not mistaken, the correct way of doing it is to declare the YA2008 income tax with PCB2008 and revise the 2007 income tax by reporting the amount of PCB that you have paid. Sounds like a pain in the ass for me. tongue.gif

same situation here, end up i was not able to fill up the PCB2007 in the e-BE 2008.

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