Out of Malaysia days calculation

Hi,

I have read the forum, however i have an issue with the days calcualtion
Could you please help.

I have started working in malaysia in on 8th Jan 2018,
I have once left malaysia on 24th feb Evening 8 pm. and return back to malaysia on early hours at 5am of 5th March  2018.

Now i am planning to leave Malaysia again on 12th June  Evening 8 pm. and return back to malaysia on early hours at 5am of 18th June 2018.

1. So kindly let me know the cummulative days of my visit out of malaysia.
2. From July will i still to pay 28% tax or will be 15%
3. Also when i can submit my tax and can get the returns.

Thanks & Regards,
Karthik G

Karthug wrote:

1. So kindly let me know the cummulative days of my visit out of malaysia.
**Just count the days where you are not in Malaysia at any point during a day.

2. From July will i still to pay 28% tax or will be 15%
**Neither - you have to do 182 days from the first day of employment (plus the full days outside Malaysia). Income tax is on a sliding scale not a fixed % (see P.7) https://www.pwc.com/my/en/assets/public … ooklet.pdf

3. Also when i can submit my tax and can get the returns.
**April 2019 (or on permanently leaving Malaysia)

@Gravitas

Thanks for your prompt response.
I could see that from the PDF shared there was 21% after this 182 days as i earn 8k RM per month that ads to 96000 p.a. correct me if i am wrong.

Also currently there was 23-24% tax deduction ie ~1800RM permonth (10800rm p.a)  , so after this 182days period , how much can i get as return after applying for tax return.

Any good way that to show more for tax returns.

Thanks & Regards,
Karthik G

You have read the table wrongly.

Only the portion RM70,000 to RM100,000 is taxed at 21%

Being Tax Resident gives a RM9,000 tax-free allowance so deduct that from the annual salary before working out the tax.

The guide gives details of other deductibles.

Tax is payable on salary after any EPF deductions

Ok, Even if i deduct 9000 rm from 96000 rm p.a
Still it would be falling under the range 70k to 100k. so will it be 21% For me.

Also currently there was 23-24% tax deduction ie ~1800RM permonth (10800rm p.a)  , so after this 182days period , how much can i get as return after applying for tax return.

No - you still have not understood the table. 

1. Your taxable income is RM 87,000
2. ONLY RM17,000 is taxed at 21% (i.e. the portion above RM70,000)

oh great, got you now. Thank you.

Also what will be my returns after 182 days that got deducted 23-24%.
Aprox how much can i get from the 10800rm got deducted for the entire 6months.

Thanks & Regards,
Karthik G

RM8,000 x 28% = RM2240

I guess you must have some deductions before tax is being applied, for the amount to be RM1,800 per month. If not, perhaps the employer doesn't realise the non-resident rate has changed to 28%

So working on RM2240 for arguments sake - 6 months x RM2240 = 13,440 paid in NR tax.

Resident rate is RM8170 per annum or RM680 per month

13,440 - 4080 (i.e. 6 months x 680) = refund of RM9360

This is a rough guide. The refund can only be processed when the annual tax return for 2018 is submitted in April 2019.

@Gravitas, So cleared and nice briefing. Great to see your forum. Really so helpful.

Thank you

Hi, just got into discussion with friends and had some question regarding a stay.

As I left on 24th Feb nit 8pm from Malaysia. Will that day will also be counted?
And I returned on 5th morning 5 am

So will it be like 24,25,26,27,28,1,2,3,4,5. Cumulative of 10days?

And if I go on June 12th nit 8pm from Malaysia and return on 18th morning 5am
12,13,14,15,16,17,18. Cumulative of 7days?

So in total 17days which are more than 14days as per rules.

If I travel and can produce a medical certificate. The medical certificate should be from Malaysia or at india. Also when should I submit this medical report. July 15th I will be crossing my 183days stay.

24th and 5th don't count as you were in Malaysia at some point during each day. As written earlier, its only days fully outside that are counted.

12th and 18th don't count either.

The 14 day rule is to link tax year 2017 to 2018. But you only arrived in 2018 and all you have to do to become TR is be 182 days in Malaysia.

So your absences just delay reaching 182 days. In your case you only qualify after:

182 + 8 + 5 = 195 days.