While waiting for value added responses....
You can goggle for the subjects that certified accountants need to master...then google topic subjects for info...just info not become certified

Hi, would like to pick the brains from the sifus here.

If I am employed by contract by a FOREIGN company (i.e. no entity present in Malaysia), and I work remotely in Malaysia (a Malaysian as well) for which the salary was paid to my bank account in Malaysia.

The question is:
1) Does the income taxable?
From search from LHDN website seems not taxable. --> LINK

2) Since the company has no entity in Malaysia, they can't contribute the EPF employer's part. They will pay directly to the employee to contribute directly into EPF personally. Would this also be consider taxable income?

Thank u in advance

White waiting for value added responses....
I kay poh abit...
I am Not good at tax things.....but i think it had been mentioned before......the word "derive"....if your income is due to work derived in malaysia......then yes ...taxable.
So i think...
Q:1 is yes taxable...
Q2: is taxable too becos the extra paid to you is considered yr income too.....but if you found ways to move that money into EPF,...then the moved money can be "tax relief -ed"

This post has been edited by MUM: Sep 23 2018, 10:38 AM

You made a point there on "derived". Would try to read back some history messages since you mentioned that some major discussion has taken place.

This post has been edited by kingkong81: Sep 6 2018, 03:16 PM

Just want to ask, how much money do I need to earn in a year to pay taxes?
Let's say I start work at April (9months), how much is the threshold amount to pay taxes?

I think have to see how much you made and how much tax rebate/relief you can claim for the tax year....

this is a simple pictorial flow chart to see if you need to open a tax file with lhdn....
https://www.imoney.my/articles/income-tax-g...-filing-guide-2

then you will need to see how much you rebate/relief you can claims....

Tax Reliefs For Year Of Assessment 2017 (Tax Filed In 2018)
https://www.imoney.my/articles/income-tax-g...assessment-2016

then,....

What Is Tax Rebate?
https://www.imoney.my/articles/income-tax-g...t-is-tax-rebate

more in the links from the site...

Nice info, is there changes coming 2019

1) Based on the bolded part, it is taxable.
End of story.

Wages paid by company in foreign country /= income derived in foreign country.

If can , every employee of MNC here especially top executive that earn big buck also want their wages to be paid by their parent company of MNC in overseas.
Export company also doesn't need to pay tax as the income/sale proceed is paid by foreign companies as well.

This post has been edited by cherroy: Sep 7 2018, 10:20 AM

Anybody received email titled "SELAMAT MENYAMBUT BULAN KEBANGSAAN 2018 DARIPADA LHDNM"?

A little late for now right? Don't you think so?

lol i think is until september 16th

Hey guys, I am in trouble I think.. need help. Here's what happened..

I started a restaurant 5 years back, under sole proprietorship. I just came back from overseas that time. So my LHDN account was kinda clean as if they don't have my record watsoever.

For the past 5 years, I have not paid any taxes nor submit any tax filling to LHDH. And the best part, no one approached me

The reason of me not doing the tax filling was that, business was damn bad the past 3 years. I was making loss for the 1st 3 years. Now, I am doing better so I think i should start paying income tax.

How should i go about doing this?

I am thinking just closing this sole proprietorship company (or just let it lapsed). Then I am thinking of getting my sister to start a sdn bhd as if its a brand new business.

I am thinking of going to YYC consultant for help too. Just need some advise from you guys here first.

while waiting for responses...you may want to try read this.....
to see what are the troubles you maybe required to get involved......
(hope you did managed to keep required business records for that duration......else lagi kena.

http://lampiran1.hasil.gov.my/pdf/pdfam/FA..._11042011_1.pdf

yes,...i think it is best that, you should get the advise of a qualified tax consultant to help you figures a best way to do that.

edited

This post has been edited by JakkReaper: Sep 21 2018, 03:39 PM

I am not a tax expert...just asking...why do you need to inform your past earning to your new company? shouldn't it be LHDN instead?

while you are waiting for value added response, you may try read this FAQs....
especially Q4 & Q14

http://lampiran1.hasil.gov.my/pdf/pdfam/FA..._11042011_1.pdf

They require me to fill their tax form so they know where to continue calculating my taxes for remaining this year l e-BE. So do I put in my business earnings or 0?

looks like it is the responsibility of the new employer to inform....

Employer's Responsiblities
Employer's responsibilities under the MTD Rules are as follows:

g) Inform every employee of his following responsibilities:

(i) to submit a TP3 Form to the employer to notify information relating to his employment with previous employer in the current year.

http://www.hasil.gov.my/bt_goindex.php?bt_...sequ=6&bt_lgv=2

sample of TP3 form,
http://calcpcb.hasil.gov.my/Borang_TP_3_2017.pdf

Because it will affect the PCB calculation (if any), that required the new company to deduct PCB from the salary.

What if...he is his own boss (property agent).....no previous employer?
Need to tell?
If yes.....can bluff bluff tell? Or no tell ?
Tp3 form applicable for declaring own business also?

There is no reason why one doesn't want to tell.

If no tell that resulted incorrect tax submission then one is inviting trouble only.

I think TP 3 form is not applicable to business owner.
I think he can omit telling the new employer, for his total income of the current year (new job + previous business income) will be declared to LHDN "next year", thus he can pay any outstanding tax payable due to "not enough" MTD from the new employer, after the final computing.

I think only..... yah