Keep Sufficient Records for 7 Years: The Importance of Record Keeping for Income Tax Purposes
Keep Sufficient Records for 7 Years: The Importance of Record Keeping for Income Tax Purposes Under Income Tax Act 1967, taxpayers are required to keep sufficient records relating to their business or operations income for at least 7 years from the end of the year of assessment. Who is required to keep records ? Every […]
Tax Audit in Malaysia: A Guide for Taxpayers in Malaysia
Tax Audit in Malaysia: A Guide for Taxpayers in Malaysia Taxation is an essential part of the Malaysian economy, and the Inland Revenue Board of Malaysia (IRBM) plays a critical role in ensuring compliance with tax laws and regulations. As part of this responsibility, IRBM carries out tax audits to verify that taxpayers are reporting […]
Navigating the Taxation Assessment Appeal Process in Malaysia: A Guide to Form Q and Form N
Navigating the Taxation Appeal Procedure in Malaysia: A Guide to Form Q and Form N How to Appeal an Assessment / Additional Assessment ? To appeal an assessment made by the IRBM, the taxpayer must submit a Form Q within 30 days after the notice of assessment has been served. Besides, the appeal shall […]
Tax Filing Due Dates and Consequences of Failing to Submit an Income Tax Return in Malaysia
Tax Filing Due Dates and Consequences of Failing to Submit an Income Tax Return in Malaysia In Malaysia, taxpayers are classified into various classes, and each classy has its specific deadline for submitting income tax returns. According to Section 77 and section 77A of the Income Tax Act 1967, every taxable person, shall furnish a […]
Consequences of Incorrect Tax Returns and Late Payments in Malaysia
Consequences of Incorrect Tax Returns and Late Payments in Malaysia Filing an income tax return and paying taxes on time are the obligations for every taxpayer. Failure to comply with these requirements can lead to various penalties and fines. What are the consequences if I file an incorrect tax return to Inland Revenue Board Malaysia […]
Responsibility of an Employer in Malaysia
Responsibility of an employer in Malaysia In Malaysia, an employer would have different obligations under: 1. Employment Act 1955 2. Industrial Relations Act 1967, Sarawak or Sabah Labour Ordinance 3. Employees’ Social Security Act 1969 4. Employees Provident Fund Act 1991 5. Employment Insurance System Act 2017 6. Income Tax Act 1967 7. Human Resource […]
Responsibility of a taxpayer in Malaysia
Responsibility of a taxpayer in Malaysia Responsibility of a taxpayer- In Malaysia, tax liability is imposed on individuals, companies and other business entities that generate income in Malaysia. Generally, different tax rates and rules may vary depending on the type of taxpayer. Hence, different type of taxpayer would have different responsibility. What is the responsibility of […]
3 Purposes of Taxation in Modern Economy
3 Purposes of Taxation in a Modern Economy How Taxation impact the economy ? The purpose of taxation is to finance government expenditures and activities that are necessary and beneficial to society. One of the most important uses of taxes is to finance public goods and services, such as streetlights, street cleaning, hospitals etc. […]
2% Withholding Tax on Commission for Agent, Dealer and Distributor
History and Background of 2% Withholding Tax In accordance with Section 83A of the Income Tax Act 1967 (ITA), Every Company is required to prepare and provide a prescribed form (Form CP58) to its agents, dealers, or distributors pertaining to particulars of commission payments regardless of whether in monetary or in kind. The Form must […]
TaxLetter 32
Download PDF version : HERE PEMERKASA Stimulus Package On 17 March 2021, the Malaysian Government unveiled a new economic recovery program, named Program Strategik Memperkasa Rakyat dan Ekonomi (Strategic Programmes to Empower the People and Economy) or PEMERKASA. The stimulus package is worth RM20 billion. The key highlights of the key initiatives are as follows:- […]
