thx for advice, deeply appreciate

just filling up my e-filing and quite shocked with my finding...
2011 compare to 2010 my income increase single digit percentage but tax increase 400% yo...
still not dare to submit the e-BE...
i'm working, my wife is housewife, have a daughter, continue my study, pay zakat but the tax increase is crazy...
the tax exemption part is very little compare to expenses i've made throughout the years...

Would it because of RM 450 rebate? Once your taxable income exceeds RM 35k, you won't be getting it.

Then ask your boss for a pay cut in 2012 to reduce your taxes then

If last year i have declare the 10K rebate for housing loan. For i declare again to get the RM10k rebate for the housing loan for 2011 income tax?

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Added on March 7, 2012, 9:29 amIt's possible to declare again to get the RM10k rebate for the housing loan for 2011 income tax?

This post has been edited by skyzog: Mar 7 2012, 09:29 AM

hahaha my work will never have cut like the pay for sure. adding up is more likely...
some more i just move to a sales position which means bigger taxation later...

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Added on March 7, 2012, 10:30 ami'm not sure which RM450 rebate you're talking about but yeah my taxable income exceeds RM35k already.
my concern here is the exemption is not favoring us as middle class earner...
even with a lot of exemption i cannot bring down the taxable income bracket.
some point i think need to be revised is child under your care exemption.
for a kid under 18yo you only exempt RM1000 per kid which i think absolute nonsense. you used so far ahead from that amount and mind you we are raising the future of our country...
and alimony for wife which is only RM3000....

This post has been edited by lewmoker: Mar 7 2012, 10:30 AM

if ur taxable income is below rm35k u will see a rebate of rm400 appear under rebate section...

i just calculated back the comparison.
back in 2010 i've got a promotion with 30% increase of my annual salary but the tax comes at 570% yo...
now in 2011 my salary increase 13% but my tax increase further more to 400%!!!
the proportion of annual income to tax amount is not balance at all...
the first 35K is 7% and 35k to 50K is 12% which i think should make it lower...
mind you, i dont mind paying tax, its my duty, i never fail to pay it but the rate its increasing pinching me in every direction...

Bro - earn $1, pay $0.26 max for income tax (26% for any $ over $xxx,xxx taxable income), still left $0.74 wor.
With the extra $0.74 per taxable $1 AND some cash flow/budget planning, one can go very far leh.
I'd love to have the increments in salary/income any day

Bottomline (IMHO): Don't grow yr lifeSTYLE as fast as your income and U'll see some sunshine

totally agree with your quote but mind you i dont say i dont have money to use or my money is shrinking or what not...
my main concern is the proportion of tax over my income is insanely not fair..

and over the years actually i adjusted my lifestyle to lower standard.
i use a 10yo wira 1.3, thinking to change but cancelled many time as its not worth it to change new car with the price nowadays.
i stay in flat, not a terrace house or condo, away from Klang Valley (in Meru).
i bought my sundries from Pasar Besar Klang every 2 weeks (went to the market at 4am every fortnight to get the business rate instead of runcit rate)
eat at home every day (my wife's a house wife and she cooks at home)
for lunch i ate at nearby food court (estimated RM10 per day including breakfast)
use my yamaha lagenda to class every weekend, not car.
no fancy PC, use works laptop.
its been quite some time since our family holiday and we never go oversea...

still i feel the pinch and need to adjust my lifestyle more eh?

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Added on March 7, 2012, 11:05 amand i forgot to add, company provide shell fleetcard for me to pump petrol so fuel usage is taken out from my expenses

This post has been edited by lewmoker: Mar 7 2012, 11:05 AM

The tax band have been there for years and it is unfortunate that you just fall into the category where a slight increase in your income will cause you to fall into higher tax band, so try to maximise your income dedutibles and use wisely on your rebates such as the computer rebates as to which year you should claim. In short just do your tax planning wisely.

OMG, I just realized that I need to submit extra 300% Tax compare to the last year... What the heck? How come they adjusted the tax to so high meanwhile my increment only a little!!!

I feel U bro - same case here
However, by about a few more years (7 to 8 for me), the sun should shine brighter (90% probable lar) heheh coz:
a. GST - a tax based on consumption, which is fairer to us savers & investors
b. Thus, personal income tax SHOULD be lower (ahem ahem)
c. Our invested assets should be reaching "critical mass" enough to grow much faster than us just putting $ from net salary & EPF into them

Sorry ar mod - a bit of diversion though still touching on income tax (and GST)

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Added on March 7, 2012, 12:13 pmIMHO,
a. Personal income tax in M'sia susah nak reduce lar - it's like PURPOSELY spending $1 to save $0.26, unless the item or services really needed/used.
Thus far, to me, only SSPN & annuities makes pure monetary sense, since my EPF bombs out life insurance already.
b. I'd think having a "side income", say an agent of something or other + rental management, would be better move since we can offset certain expenses to the generation of these income.
c. Time for a change? this year's erection

This post has been edited by wongmunkeong: Mar 7 2012, 12:15 PM

welcome to malaysia, bro
this is my main point with all my babbling here...

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Added on March 7, 2012, 2:56 pmi've done the simulation already with e-hasil.
i try to max everything still the tax is there.
you dont wish you'll have OKU kids right and ill fated ailment which still capped at RM5k...

as long as we are employed, the tax will hunt us down. thats the conclusion...

by the way the computer rebate i already claimed last year.
every year i claimed 5k for further study.
wife not working (RM3k)
1 daughter (RM1k)
broadband rebate rm500
books rm1,000 (buy a lot of book for study and leisure)
still the tax exemption cannot brings out me from the tax bracket especially the RM35k where the tax is 12%

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Added on March 7, 2012, 2:58 pmtime for a change eh? agree with you bro
side income is something i've been thinking but with my current work its not possible...

This post has been edited by lewmoker: Mar 7 2012, 02:58 PM

oh, you are paying zakat, pls consider about non-zakat payer, will have more than what you are paying

Always the case. Mine also like that, I actually double and triple check so many times wondering if I've calculated wrong somewhere. Tax payable this year compared to last year has so much difference.

OMG, how come u look like so happy... I'm damn pissed off

exactly what you're saying bro, i agree with you.

but plz get the fact first.
paying zakat is the same like paying tax, only different channel.
in the end the amount coming from your pocket is the same.
there are no differerence between zakat payer and non zakat payer in term of money wise.
even though in the BE form you can see its deductible from final taxable amount, please be mind you pay the same deducted amount somewhere else...

no bro, there is difference between zakat payer and non
exactly what you're saying bro, i agree with you, but i got sample deduction, don't how true is that

Example.
Ah Chong Donate temple : RM10,000.
His Annual income : RM100,000.
Tax Relief : RM 23,000 (For Individual) + RM 7,000 (For Donation)
Chargable income : RM70,000
Tax payable : RM7,125


Ahmad - same income and relief
Chargeable income : (RM100,000 – RM23,000) = RM77,000
Tax payable : (Rm7125 + 1680) = RM8,805
Less zakat : RM 10,000
Tax refundable : RM (1,195)

edited:
even Ahmad pay rm10k zakat and after calculation his tax is rm8805, he won't get any refund as zakat is non refundable...
in this case ahmad don't need to pay any tax but if ahmad n ah chong is an employee, usually company already cut their monthly salary for tax deduction...

This post has been edited by lewmoker: Mar 7 2012, 06:14 PM