for socso.....is there any tax relief?

Yes. You're correct.

Unfortunately no and the contributed amount is not that significant.

what u mean refundable?

The tax rebate only applied to ur tax amount, let say ur calculate tax amount is less than RM400, ur tax after rebate is RM0, not refund from the tax rebate.

For example:
Tax amount need to pay=RM320.
Tax rebate (with taxable income less than 35k)=RM400
Ur final tax=RM0 (not -RM80, which u hv refund)

thanks !

lets say a sole proprietorship gives a incentive in form of item like laptop , tablet or watch (non-cash item), is it deductible? if yes, can file under which part of borang B? and does that employee need declare that item in his tax?

No cash value means you don't get taxed for it. How to deduct some more?

Oh so the person who received will not get taxed, and don't need declare.

How about the company? Let's say the laptop is rm3000, can put it under staff bonus , rm3000?

"Kalau pembayar menggunakan e-filing, kami akan memproses bayaran balik dalam tempoh 30 hari. Sebenarnya kami boleh memproses dalam masa satu hari sahaja. Tempoh 30 hari hanya sebagai petunjuk, iaitu selewat-lewatnya 30 hari," katanya.

Source: http://www.bernama.com/bernama/state_news/...=1021240&cat=ut

So it will take at least 30 days to process.

This post has been edited by jonjie: Mar 24 2014, 06:08 PM

'Selewat-lewatnya 30 hari' means worst case scenario of at most 30 days, why you translate become at least 30 days?

Because my BM sucks?

sorry to say, the forumer is incorrect. it is taxable even if its not a cash. imagine Company giving out a house/car instead of cash bonus, taxable ? the answer is yes. Income tax is NOT based on cash only, else it will be called Cash Received Tax, not Income Tax. sigh, tired with half cooked answers.

for your case, i suppose you already done your Borang E. if its included in Borang E, then fill it in ur Company account, if not better do not disclose these non-cash incentive and you urself have to bear the tax instead of transferring to the employee. but theres loop holes of course. but end of the day, its either if the Company can deduct, meaning the staff have to disclose and kena tax, if the Company cannot deduct then the staff do not have to kena (that is the norm of income tax basically).

This post has been edited by klthor: Mar 24 2014, 03:47 PM

hi, thanks for the explaination

i have not done borang E.. will file borang B (im employed and have small business) this year. so i wondering, if i give 1 laptop to employee as bonus, (purpose is to reduce the company's chargeable income), which part to file it?

the employee declare or not, will be up to him.. but of course will advise to declare. if he declares , which part to declare?

as an employer, u will need to prepare Borang E and EA for your staff. and the deal date is 31 march if im not mistaken.

as for Employer it will be inside your tax computation, may it be staff incentive, bonus, gratuity whatever you name it.

as for employee side, it will falls under Paragraph 13(1)(a) which is same category as salary, wages, leave pay, bonus, gratuity. because your Laptop is consider convertible into money, meaning your staff can sell that laptop to get the money.

by the way, if i were you. i would rather buy that laptop as company asset, and then give it to ur staff to for office use (meaning when he resign, he has to return the laptop to you). that way, u save tax and your staff would not be taxed. win win situation.

thanks!

welcome, proper tax planing is encouraged.

15 Tax Deduction You Should Know.

http://www.financetwitter.com/2014/03/fift...g-guidance.html

Informative page

dear piscess88,

wish to side-track ur post a little cos i noticed some parts of ur content which might be able to answer my query, in the case u r an employee & owns a small business, you should be filing under borang B? thanks so much