I see, thanks for the clarification

according to this article

EPF’s foreign-sourced income still tax exempt
In response to a query from The Edge, EPF says its foreign-sourced income will continue to be tax exempt under Paragraph 20, Schedule 6 of the Income Tax Act 1967, which states that the income of any approved scheme is exempted from tax, and this would reasonably include its foreign-sourced income.

According to section 2 of the Income Tax Act, the definition of approved scheme means “the EPF, private retirement scheme or any pension or provident fund, scheme or society approved by the Director-General under section 150”.

https://www.theedgemarkets.com/article/fore...fsie-withdrawal

just not sure if you are referring to foreign sourced income tax that are to be implemented in 1 Jan 2022

here are links to the FAQs for that topic
https://phl.hasil.gov.my/pdf/pdfam/FAQ_PKPP_2.pdf


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That is the fear. Once they have started and there is no major protest, it will only get worse.
Today it is RM10mil. Tomorrow it will be RM100 mil. Next it will be RM1 billion. No blinking of the eyes while they are it too.

Thank you, will review, I also in process to learn how this exactly be implemented.

Hi all experts, just wondering if someone remits $$$ into a Malaysia bank account, say RM200k before 31/12/2021, the bank would usually call the account holder and ask about the incoming remittance. Usually what is the right answer to tell the bank? And what is the purpose of the bank calling the account holder? Is it for compiling data, for anti-terrorism financing efforts, etc? TQVM for being patient with me.

This post has been edited by myoliech: Dec 23 2021, 09:25 PM

Like you mentioned, AML and anti-terrorism financing acts. They need to understand that the monies coming in are legit, and not from an illegal source. And also if it's taxable

Added: In most cases, they will ask you to furnish documents supporting what you just mentioned. I remember PBB asking me to furnish documents on some small amount of compensation from Amazon once, like not even 500 ringgit worth of USD.

This post has been edited by 000022: Dec 24 2021, 10:26 AM

maybe and hopefully you can get more value added responses from the Forex forum.....

I just heard back from a tax advisor re my personal situation - I am tax resident in Malaysia, have money on deposit in Malaysia to live off for a few years and have a tax free onshore dividend to supplement the savings. Tax advisor stated that I have no need to open a tax file.

I then went back with a follow up question. I have some funds offshore which have not been touched (either income paid in or transfer out) for several years. If I transfer some of these funds to Malaysia after 1/1/22 is the remittance taxable? I am still awaiting an answer on this question.

This post has been edited by MattSally: Dec 24 2021, 12:00 PM

Yes, once fund remitted, consider part of filing amount for the above mentioned tax resident person

If from legit forex broker, no issue, no tax still under examption period. Just prepare trading statement if bank request for proof. No issue.

Thank you for sharing the info in the first paragraph.

For your follow-up questions. I am pretty sure that if you send back say 20K per year (there should be a limit, but I don't know the exact limit), there is no need to file anything. Rational: fresh grads in malaysia who earns say 2K per month, are frequently told by LDHN officers that they don't have to open a tax file as their income is too low to be taxed.

Hi all,

For a tax resident in SG, are we subject to this new tax when we remit money back to Msia banks?

What documentary proof do we have to provide the the banks / LHDN?

If you are paying tax in SG but legally tax resident in Malaysia then I believe the answer is yes, but that any tax paid in SG can be offset against your Malaysian tax.

Happy to be corrected on that.

This post has been edited by MattSally: Dec 26 2021, 12:52 PM

Thanks for the prompt reply. What if one is a tax resident in SG and spent less than 183 days in Msia. The individual should not be subjected to this new tax? On remittance of funds from SG to Msia via financial institutions, do we have to show proof the the receiving Msia bank? When would the 3% be imposed?

but what if "If you are paying tax in SG but "NOT" a legally tax resident in Malaysia then what would the answers be?
(example: Malaysian not staying in Malaysia for > 182 days?)


Malaysia
Individual - Residence
Last reviewed - 14 December 2021
The status of individuals as residents or non-residents determines whether or not they can claim personal allowances (generally referred to as 'personal reliefs') and tax rebates, and enjoy the benefit of graduated tax rates.
Resident status is determined by reference to the number of days an individual is present in Malaysia.
Generally, an individual who is in Malaysia for a period or periods amounting to 182 days or more in a calendar year will be regarded as a tax resident.
https://taxsummaries.pwc.com/malaysia/individual/residence

try the link in post 343,
for the current FAQs on this topic...
hope there are some FAQs that may answers your queries....

Ok. This gets slightly more elaborated. So a tax resident in SG will automatically file for personal income tax in SG which the amount would be treated as tax relief by LHDN? Individuals will have to make filings to LHDN as well?

More questions than answers.

Is the answers in the faqs?
Hv you read the link?

Yes I did. This could be the closest.

ekiranya pendapatan yang diremitkan telah tertakluk kepada cukai di luar negara (cukai asing), adakah layak menuntut potongan kredit cukai?
Ya. Pembayar cukai boleh menuntut kredit cukai dua belah pihak atau sebelah pihak di bawah peruntukan seksyen 132 / seksyen 133 ACP 1967 sekiranya pendapatan yang telah diremitkan ke Malaysia tersebut telah dikenakan cukai asing sama ada dalam bentuk cukai pegangan atau cukai pendapatan.
Pembayar cukai yang menuntut kredit cukai perlu menyimpan bukti cukai asing yang telah dibayar.
Kredit cukai yang dituntut untuk suatu tahun taksiran TIDAK boleh melebihi bahagian cukai Malaysia yang kena dibayar berhubung pendapatan yang diremitkan untuk tahun taksiran berkenaan dan mesti dituntut dalam tempoh dua tahun selepas akhir tahun taksiran 2022 atau 2023.