Malaysia has a strict taxation policy based on location and residency. Any income derived from work performed in Malaysia is subject to Malaysian tax regardless of your residency status. Its advised to engage the services of a qualified accountant or lawyer to deal with any income thats derived in Malaysia.
Non-residents are charged at a flat 28% only for income derived in Malaysia and are not able to claim tax relief. Residents are charged on income derived in Malaysia and income remitted to Malaysia. The residents tax is calculated according to income scales from 0% to a maximum of 28%. If you are in Malaysia for more than 182 days in any tax year (which runs 1st Jan to 31st Dec), then you are considered resident. There are opportunities for tax reliefs for local residents and generally fringe benefits are not taxable or are taxed at low rates.
Our local financial solutions partner offers an excellent financial management solution which includes:
- Credit Control
- Registration and Payment of all taxes and social contributions.
- Tax Mitigation
- Dual Taxation Considerations
- Wealth Management