TAX - CORPORATE AND PERSONAL RATES

 

Income Tax Regime in Malaysia (Current Applicable)

 

 

Resident Companies

   28%

Non-Resident Companies

   28%
Trustee And Executor Rates   28%
Association And Club Rates   As applicable to individuals
Non-Resident Association   28%
Insurer    
     Inward Reinsurance   5 % (Y/A 1980 onwards)
     Offshore Insurance   5 % (Y/A 1982 onwards)
     Life Fund   8 % (Y/A 1995 onwards)
Approved Operational Headquarters Company   10 % (Y/A 1990 onwards) (on qualifying services)
Foreign Fund Management Company   10 % (Y/A 1996 onwards) (fund management services to foreign investors)
Company carrying on petroleum production   38%

     

Personal Income Tax Regime in Malaysia (from YA 2002)

Taxable Income

      

Chargeable Income

RM

Rate

Tax (RM)
On the first 2,500 0% 0
On the next 2,500 1% 25
On the first 5,000 - 25
On the next 5,000 3% 150
On the first 10,000 - 175
On the next 15,000 3% 300
On the first 20,000 - 475
On the next 15,000 7% 1,050
On the first 35,000 - 1,525
On the next 15,000 13% 1,950

On the first

 50,000 - 3,475
On the next 20,000 19% 3,800
On the first 70,000 - 7,275
On the next 30,000 24% 7,200
On the first 100,000 - 14,475
On the next 50,000 27% 13,500
On the first 150,000 - 27,975
On the next 100,000 27% 27,000
On the first 250,000 - 54,975
Exceeding 250,000 28% -
     

Personal Reliefs for Residential Individuals

    

Self

8,000

   

Self (disabled person)

13,000

   

Wife

3,000

   

Wife (disabled person)

5,500

   

Child relief (unmarried, below 18 yrs)

800 per child

    

Child - education in M'sia

     4 X normal relief

  

Physically / mentally disabled child

5,000  per child

    

Alimony to former wife

3,000

   

Parents' medical expenses - max

5,000

   

Cost of equipment for disability - max

5,000

   

Life ins premiums and EPF - max

5,000

   

Fees for courses in Msia

2,000

   

Insurance premiums for education or medical benefits

3,000

Medical expenses for self, spouse or child for serious disease - max

5,000

   

     CORPORATE TAX    

Resident and Non-Resident Company

28%

 

     PERSONAL TAX    

.Taxable Income

<2,500: 0%

2,500-5,000: 1%

5,000-10,000: 3%

10,000-20,000: 3%

20,000-35,000: 7%

35,000-50,000: 13%

50,000-75,000: 19%

70,000-100,000: 24%

100,000-150,000: 27%

150,000-250,000: 27%

>250,000: 28%

Personal Reliefs (Residents only)

Self: 8,000

Self (Disabled): 13,000

Wife: 3,000

Wife (Disabled): 5,500

Child: 800

Child (Education in M'sia): 2,400

Alimony: 3,000

Parents' Medical: 5,000

Life Insurance & EPF: 5,000

Course Fees in M'sia: 2,000

Insurance for Education / Medical: 3,000

Medical for self, spouse, child for serious disease: 5,000
 

 

 

Note(s):

 

Profits from disposal of real property is filed under the provisions of the Real Property Gains Tax Act, and are separately assessed from personal income. The applicable rates are those provided for under the RPGT Act (or any other applicable gazetted ministerial order or directive)

 

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