QUOTE(mystvearn @ Dec 30 2013, 04:22 PM)
I am a government servant.
I read the sticky links from the first post and have few questions. If your basic pay entitles you to pay income tax, is there an automatic deduction process which you can fill out, or must you always fill it in every year? Saves time and less headache that way. Or is not recommended.
Tax is only on basic pay and not allowance right?
Not sure about government sector but for private sector:
Taxable income includes basic pay + fixed allowance
If allowance is given under BIK, then it's not taxable.
Next for monthly deduction under PCB scheme, usually the HR or account payable will do this; meaning the received paycheck has deducted for EPF, SOCSO and PCB. However, to create for income tax file number, it varies from company to company. This is only applicable for general situation.
Lastly, under Budget 2014, if you're satisfied for the monthly PCB deduction and has noting to claim from relieves/rebates, you may opt to not filing.