Hi bro,

I am kinda confuse with this....


My wife living and working from home in Malaysia. Her company is in Australia. Her salary is TTed to her Malaysia bank on a monthly basis from Australia.

In this case, is this income taxable?

I found on LHDN it is not taxable. (http://www.hasil.gov.my/goindex.php?lgv=2&chg=1)

Income Remitted from Outside Malaysia

With effect from the year of assessment 2004, income derived from outside Malaysia and received in Malaysia by a resident individual is exempted from tax.

But some said it is taxable....i am confused....

Please help.

taxable - becos the work done is in malaysia, not overseas.

Check out this post for more info https://forum.lowyat.net/topic/1203859/all
Hope it helps

This post has been edited by oOoproz: Mar 17 2015, 04:19 AM

Yes you still need to declare it..

Keep quiet until they send a love letter to you.
Or visit your nearest LHDN office to clarify.

What if the Australia income is a freelance job (2nd income, paid in USD TT from overseas)? If she have a regular job in Malaysia (Malaysia company, paying in RM), same rule apply? The 2nd income (Australia job income) still need to declare?


Thanks much !!!!

Yeah.. legally you should declare. Are you taking big amount on the freelance?

legally, u r required to declare.

it is the same with rental income.

if u dun declare, just be aware that if and when at some time, u get audited by tax people and can't explain certain things on certain documents, u r liable for a hefty fine.

of course kena tax lar. You do the job here, cari makan here and expect no tax??? WTF.

+100

IMO legally required, but as long as they do not submit EPF then LHDN wont even know she is even working.

Noted and thanks everyone.

If our boss spend our tax money wisely of course we are happy to pay it. But they spent on beli cincin, pergi saloon, beli kapal terbang, masuk poket etc (many many more).... I am sure everyone not very willing to pay.

Work done in Malaysia, so officially need to declare and submit LHDN. No matter is primary job or secondary/tertiary/part-time. As long as it is an "income".

Tax Audit can be done easily, all foreign TT have records in BNM.

How could I get a job from home like your wife did? I had a wish, I just wanna work at home. Can sleep and eat anytime. Can you pm me the detail of the job?

me too

It will be taxable I assume. Just curious, I am sure the money has some kind of deduction before it is TTed over to Msia? wow sakit if kena twice tax.

Hi all.

I am looking for a way to reduce my total taxable income to save more money. I have a daily full time job in Malaysia and a part time service-based freelance foreign income. What is the best way to save on tax payable? The freelance income is recurring monthly and TT to my bank account from US but amount is not fixed. May I know which is the best option below?


Option 1:
Find a job in Singapore and stay there since the tax rate is lower than Malaysia. Thus, reducing my total taxable income while the freelance income remain TT to Malaysia bank account. In other words, income tax is file in both countries. Is that possible?


Option 2:
Open a sole proprietor/Sdn. Bhd company. Outsource my work as project based to foreign people in other country around the world. The outsource work will be use as deduction for business expenses.

There is very little expenses can be deduct since the service work can be done at anywhere. Maybe require to purchase softwares or server hosting as business operation also.

Income derived, means you work there and generate income there.

In order words, this term is apply only when the person is physically work at there. The tax should have been file at there also. So, when transfer back to Malaysia is exempted from tax and consider as transferring from own account, not directly from company.

Yup, a lot of people misunderstand that if money is come from overseas, it is tax exempted, which is not true.
Company here doing export, also receive payment from overseas but still it is local derived income and subjected to tax here.

It is not about where the money being paid or from, but where the money being generated.

The reason of it is given tax exempted (apart can induce inflow of money), because the income may already taxed at there, so unfair to have double taxation.