Tax on salaried job in year 2008

Hi,

I worked in year 2008 and my company had deducted tax from my salary. I had stayed more than 182 days in Malaysia for a period of 10 months. I have started working again in Malaysia and when my current company tried to file the tax, I am told to pay the old tax of 2008.

Can anyone tell me where can I get the income tax calculator for year 2008?
Although my previous company has paid the tax, why is the tax department asking now to pay the tax?

Regards,
Derok

Here are the rates - scroll down
http://www.hasil.gov.my/bt_goindex.php? … p;bt_lgv=2

Show your records for your tax return for 2008 and all other paperwork such as deductions by the company (pay slips etc) That will clarify everything

Of course perhaps the old company did not pay your tax - but that would have become clear if you had done your annual tax return, even though you were out of the country.

Were the 182 days all in 2008 or across two tax years (Jan-Dec)?

Thanks for your quick response.

Total salary was 65000 RM and total tax deducted was 6800 RM.

And as mentioned earlier, I stayed for more than 182 days. Also my spouse was staying with me.

Can you please calculate the tax and let me know how much amount I owe to tax department?

Regards,
Derok

You do it yourself as it is important you understand what is going on.

You get a tax free allowance for you and your wife so deduct this from the annual salary - You got  RM8k and your wife got RM3K - https://www.scribd.com/doc/491826/Malay … Guide-2008

Tax is worked out on your annual earnings..... Jan-Dec.  Starting at the lowest strata of tax shown on the table at the link given earlier,  work out each level then add them together.  So after the RM8K the next RM2500 is also tax free.  Then the amout RM2,501-5,000 is taxed at 1% (from the table)

Continue to work out each strata and add them up. Your annual salary will probably fall between the level given in one of the strata, so just use the final amount to work out what that tax slab will be i.e. if 15k falls in the 16% strata it is 15K x 16%

Once you have added all the different amounts paid at different percentages, you divide by 12 to get the monthly deduction due. This can be multiplied by the number of months you worked in Malaysia (e.g. 7 months Jan-July).

This method only applies if you worked entirely in 2008 and not across two years. It also only applies if you did not leave the country for leisure purposes of more than 14 days.

If you had benefits in kind such as housing allowance, travel, etc. that is also taxable.

Thanks again for your kind support.

Based on your suggestion for self and wife (total of RM 11000), it looks like total tax I need to pay is about 7200 RM. Am not sure if I did the calculations correct or not? Please let me know if this approximate calculation is correct or not.

I have learnt that my previous company has already paid tax of 6500 RM to the tax department.

Thanks & regards,
Derok

Hi Gravitas,

Good day.

Is it possible to check online how much my employer has paid the tax on my behalf to the tax department (in year 2008)? If so, how to check it.

I am able to access the hasil website (first time I used PIN provided by the tax department).

Thanks & regards,
Derok

I doubt it in all honesty unless you did your annual assessment in about April 2009 (for 2008) through their online system. Otherwise everything will be paper trail only.

They may respond via email or phone - http://www.hasil.gov.my/bt_goindex.php? … ;bt_sequ=1

Hi Gravitas,

Greetings !

Thanks a lot for your kind suggestions/guidance.

My tax issue of year 2008 is resolved now - I happen to visit LHDN office lot of times.

Most important point was while filing my income tax for year 2008, my previous company didn't submitted photocopies of my passport (entries and exit stampings). I was asked by LHDN to submit the same along with IN and OUT tracker form (this contains the number of days I was inside Malaysia and the number of days outside Malaysia). These documents were sent for audit - I believe both these documents were to check if I was resident or non-resident in year 2008. In this period I was not allowed to leave Malaysia without immigration clearance letter issued from LHDN. And to get this letter, I happen to pay 50% of the amount imposed by tax department. I am told by LHDN office that I will get the refund for 50% amount which I have paid to get the immigration clearance letter.

Sorry for writing in detail, I believe the above information will be helpful for someone in future.

I have one more query - I have stayed in KL in year 2017 for more than 182 days, do I also need to stay in year 2018 for 182 to have the resident status? What are the rulings for staying?

Thanks & regards.
Derok

Thanks for the feedback which is great to have online.

Stayed or Working is the question. Tax residency is only relevant if on an employment pass or another type of pass, e.g. MM2H, LTSVP.

Tax years can be linked.  The PWC brochure explains this - https://www.pwc.com/my/en/assets/public … ooklet.pdf

The key is not having left the country for social reasons, e.g. holiday, for more than 14 days. But if you have no intention of actually leaving until the end of the year, so will be in Malaysia for 182 days in total, then you would be tax resident also in 2018.

The linking of years is more directed at people who say begin employment in August onwards, who have no chance to be in the country for 182 days.

So the basic qualification is presence for 182 days to be considered tax resident.

Thanks again for your quick responce.

I am working in this company since June 2017 in EP visa. I have visited my home country and I was away from KL from 10th Feb till 18th Feb. I believe I have to stay in KL until mid of July 2018 to prove my resident status.

Regards,
Derok