If you are still employed by your Malaysia company (sent to China for business assignment) then you are taxed in Malaysia based on your EA Form. The tax rate that is applicable depends on your residence status:-

1) If you are in Malaysia for 183 days or more in a year, you are a resident
2) If you don't meet the 183 day rule, then you MIGHT not be a resident (tax at 26%). There are other ways to qualify but you need to check in more detail.

By going to China, you must also check to see if you have to pay China income tax. This is because you are working in China. Different company have different rules and there is a possibility that your salary can be taxed in both Malaysia AND China depending on their rules. So do check this information out before you go.

China tax is very complicated. You have more than one level of tax in China depending on the city, region, district, blablabla. You will need to get specific information on where you are going, what you are going to do there, and how long you are going to be there before the China ppl can advise you on the tax there.

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Added on May 7, 2012, 4:57 pmMalaysian tax is territorial scope. The fact your company is not in Malaysia and doesn't have a branch in Malaysia is one factor. You need to consider the following:-

- When you are employed, are you working in Malaysia (i.e. representative of your company in Malaysia)

If your answer is "yes" then your income is taxable in Malaysia notwithstanding your income was not paid by a Malaysian company (this is because you have exercised employment in Malaysia).


- How long were you in this employ?

There are specific rules that grant tax exemptions depending on how long you were in their employ. (if more than 182 days, forget about this point).


- What country is your company based in?

This can also lead to tax exemptions depending on the country (if more than 182 days employment, forget about this point).

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Added on May 7, 2012, 5:01 pm1) The relief you are talking about is "Medical expenses for parents". I am not sure if dental fees for extraction and scaling qualify though.

2) I am not aware of any relief for dental for individuals. Not heard of such a relief.

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Added on May 7, 2012, 5:03 pmDepends on the type of income they distribute to you. Some distributions are tax exempt (no need declare). Some may be taxable. The statement from the insurance co should state whether it's taxable or tax exempt distribution.

This post has been edited by CKJMark: May 7 2012, 05:03 PM

The proportion of the interest you share depends on your proportion of contribution of the repayment. If you pay 50-50, then you claim 50-50.

Unless you can prove 70-30, you technically shouldn't. That being said, the tax authorities will only find out if you get audited. So....are you feeling lucky? hahahaha

Director =/= business income.

He did say it was a company and he was a director. I assume the company is a Sdn Bhd / Bhd and the company will have a "C" file.

If that is the case, even as a director he is an employee, he should file a Form BE (director fee/allowance/salary). For tax purposes, a company is a seperate taxable entity from the director/shareholder. Even shareholders don't file Form B for companies they own.

However, if the business was a sole proprietor (not a Sdn Bhd / Bhd) then a Form B would be appropriate as business income.

The offsetting of losses is only available in relation to business sourced income. The renting of two properties can constitute business income. In order for rental of property to be considered as business income, you must fulfill certain criteria as per Section 4 of the public ruling:-

http://www.hasil.gov.my/pdf/pdfam/PR4_2011.pdf

The main criteria is you must actively provide comprehensive support and maintenance services on the property you are renting out. Long story short: you must pay for the repair and maintenance of the property and all facilities in relation to the property.

In your case, if you are paying for the maintenance fee which arguably is the fee to maintain all the facilities of the property under the management office, and you also pay for the repairs of the fixtures in the property (i.e. air-cond), and you pay for the quit rent, assessement, insurance, etc. I would say you have a decent case to argue that your rental income is business sourced.

If you choose to take this route, this means you file a Form B, and no longer file a form BE. Your rental income becomes Section 4(a) income. You need to also bear in mind that if you choose to take this route, you will come under greater scrutiny of the IRB, and will need to ensure you maintain proper documents of your spending to justify the amounts.

If all the above are true, you can treat your rental income as a business source and offset the loss of one property against the other. In addition, you will be eligible to claim "capital allowance" on certain fixtures (i.e. aircond, cabinets) and furniture you provide in the property as well.


With regards to your second question, if your rental income is a business source income and you make a net loss overall, you can set-off this loss against your employment income in the current year.


Precautions

To argue your rental income is a business is an argument of fact and must be supported by the history of your actions And to take this position is quite aggressive as well:-

- you must have actively sought out tenants (by way of engaging agents, or advertisements). This must be proven by photos or receipts paid to agents.

- The documentation between you and your tenants must be fairly decent. By this I mean you must have a proper rental agreement to spell out the responsibilities of both landlord and tenant

- You have a better case of winning this position if you have more properties in your portfolio. 1 property makes for a very weak case. 2-3 and you have a fairly decent case. 4 and above, I would say its almost iron clad.

- The provision of comprehensive support and maintenance services is very tricky and vague. To strengthen your case, I would advise that you show that you provide repairs and other services (i.e. cleaning) on top of the management fee.

Finally, if you choose to take this position, please make sure you get a consultant to give you a proper written advice so that you are up-to-date and have written proof to back yourself up in the event of an IRB challenge. Make sure it's worth your while to take this route, because its not worth the hassle just for a few hundred bucks difference.

I don't think repayment of PTPTN counts.

That is for if you have any income last year that you did not report. If don't have then just leave blank.

It's for people who are working and studying at the same time. Not for full time students.

PTPTN repayment is a loan repayment, it's not the cost of your education. They are not the same thing. If you are working now and pursue higher education you can claim the cost of your education in the year you pay the fees. Not the repayment of the loan you took to fund it. They are two different things.

The LHDN guy already say no need.

Check if you have claimed the following common reliefs:

- EPF
- Life insurance
- Medical insurance
- Private retirement scheme
- broadband Internet subscription
- book/magazine/comics (e-book and online magazine counts)
- cost of medical check up
- Sports equipment (shoes and clothes don't count)

Individual don't really have much to claim actually. Maybe a bit more if you have disabled family member, wife, kids

If you have financial difficulty, go to see the IRB collection office. Ask for installment scheme. Sometimes they allow you to spread the payment over 3-12 months depending on your situation. But make sure they give you permission to do so in writing.

This post has been edited by CKJMark: Apr 2 2013, 12:01 AM

Ok, I think confuse a bit.

That column is for income your receive this year, but it is actually for last year.

Let's say last year your boss owe you salary RM1,000 didn't pay. Then this year he pay you that RM1,000. So you report that money in that column.

Last year you no need to file income tax, so that money you got last ear no need report this year.

You can, but if your wife has any taxable income it must be assessed together with yours. Treat it like a joint assessment.

You need to confirm whether ACCA/CIA is approved by the government to qualify for the this deduction. I think it is but better to call IRB and confirm just to be sure.

With regards to the books deduction, if you are paying for more than the books, you may need to justify the cost of the books vs the cost of the rest of the CIA course.

1. Correct. But in future if got taxable income then you must report the income together with yours.

2. Be a little bit careful here. If you buy and sell shares/stocks frequently and LHDN finds out, they may try to tax you on it. The regular trading for shares (short holding period, sell fast to make profit), can be considered "trading income" and not "capital income". If you buy and hold for dividends then is not a problem.

Yes. Go to e-filing page, on the left side click "semak pengesahan". Select the year you want to review from the drop down menu.

I only see two years for mine. Current and preceding. But I don't use this to refer because I keep a printed copy of my return forms in a file.

It is probably due to some prior year outstanding amount in your account. You can check your tax payment account via "e-lejer" at:-

https://elejar.hasil.gov.my/

Key in your IC number and e-filing password, and you can choose the year you want to check on the left hand side after logging in. From here you can see what was assessed and what was paid/refunded.

If you want a more detailed analysis, you will need to go to the IRB Collections department to speak to their officer who can help you look into more detail.

The type of payment depends on what you are paying the lump sum for. Why are you paying the lump sum? Is it for the balance of your Form BE?

"no/bil ansuran" refers to the instalment number you are paying (i.e. 1st, 2nd, 3rd). The answer to this is contingent to the first question.

You should select "bayaran Curia pendapatan (tidal termasuk skim ansuran)"

"bilangan ansuran" should automatically show "99"

Yes you can. Refer to this link for the information you need to provide :-

http://www.hasil.gov.my/goindex.php?kump=5...nit=5000&sequ=7

If you have ATM card also can pay via ATM

Oops haha sorry autocorrect