Every Sdn. Bhd. will appoint auditor and tax agent, why not u ask them regarding this matter?

You will need to pay PCB for the directors.

Do it before 10th next month. If you already missed out the timing, make it to an accrual director fee.

Dr. Director fee
Cr. Other Payables (Amount owing to Director)

When you think time is good, just pay it by deducting PCB using the 2013 PCB calculator.

Thanks. How about paying out as Consultancy Fees instead of Director Fees? Are there any deductions to be made?

You would need to hv proper invoice for billing.

For professional fee (tax filing & secretary fee) , it's a disallowed expense , need to add back in tax comp.

Not sure about consultancy fee, pls clarify the consultation.

To claim it as a business expense, unless the director has a firm or a consultancy company, and to put the so called "director fee in same shit" in his revenue as business income.

Overall, the tax would be in our beloved government's hand no matter how, unless you do it fictitiously by manipulating.

This post has been edited by ck23: Sep 16 2013, 10:43 PM

If say my company get RM10,000 in revenue, I just want to pay myself RM10,000 in the easiest possible way. Not planning to avoid tax.

Revenue aka turnover aka sales. Are you trying to say Profit before Tax?

A Sdn Bhd needs to file CP204 monthly. Please budget it wisely.

You are asking so is like your CP204 paid for was lesser than estimate and will kena the shortfall 10% penalty.

If you transfer the profit to your own, you will be levied Personal Tax. (Unless it's a dividend payout)

Overall it's just the same. Maybe if you haven't reached the tax bracket, based on scale rate, you save a bit rather than paying 20% flat rate for SME. (On the first 500k Profit, though)

This post has been edited by ck23: Sep 17 2013, 10:31 AM

I get what you mean by the 26% personal vs 20% corporate tax rate, and on the dividend payout being paid from PAT and hence not taxable at personal level.

Thing is, I have not lodged anything to LHDN (or EPF for that matter), so how do I pay myself?

then you should register employer account with LHDN. They will give you a ref number starts with E.

Due Date for Form E return is every 31 March, next year.

You can pay to your own self anytime. If your annual income is RM29950, then no need file PCB.

Just pay as a director fee. However, it needs a company resolution for it.

So in the meantime just pay as "Advance to Director"? Then later knock off salary/pcb/epf from there?

ck23,

I think it is more of an advance since the money is needed first.

Thanks for your advice!