Tax Calculation

Hi,

I am currently on a Long Term Social Visit Visa(Since my spouse is a Malaysian).I have secured a job and also got my permission to work endorsed on my passport from the immigration department.I start my Job in November and wanted to know if I will be taxed 26% flat for the first 6 months like a foreign expat or will I be only paying taxes as per Malaysian tax bands?
Any help on this topic will be very much appreciated.

Thanks

I think you will be paying 28% non-resident rate for Nov/Dec 2017 and then Jan/July 2018. Once you become tax resident any overpayment compared to the normal tax rates can be refunded. The reason being taxation is a different concept where tax residency count only starts when you are eligible to pay tax i.e. now you are starting work. If you earn under RM34k per year after EPF deduction you don't have to register to pay tax. http://lampiran1.hasil.gov.my/pdf/pdfam/01_2017_2.pdf

Hi Gravitas. Question: My salary its 12, 500 PM. I find very confusing info online. Do you have anoy rough idea what I will get end of the month clearly in my account? 10k? or less?

For first six months, it's going to be flat 28%, which will be RM9000 (Take home pay from RM12,500)

Post completion of 182 days, you will be eligible for resident tax norms, which can be calculated based on the salary and family commitments over the below link:

https://www.imoney.my/calculator/income-tax-calculator#

Hi Simon. I see a lot of things that I do not understand in that form :(, hence asking the more experienced people here. For the first 6 months is clear, my worry is after that. If I got 10k and over, thats fine for me, cause I need to provide for my wife and daughter..if not maybe I need to think how we will manage :)

How many children do you have and what's their age?
Is your entire family going to get dependents pass in Malaysia? (This is required for tax relief)

If you are bringing your wife and children on dependents pass, you take home pay after 6 months would be close to RM10,750. Do note that next financial year, you are eligible to claim back the excess deductions of first 6 months, which means RM1,750x6 will get refunded.

Hope this clarifies your query!

Hi Simon. Thanks for your reply. Yes, daughter she is 13. But she will come in about 9 months(just to complete year in school), so initially it will be only me. My wife initially will not work. So to make it simple. First year lets say, I am alone. Then with my family(wife will work for sure)

Here you go!

If you're single: RM10,500 (Approx)

If you're going to live with spouse not working & 1 kid: RM10,800 (Approx)

If spouse gonna work: RM10,600 (Approx)

All calculations are approx, they may vary slightly.

Hey Simon. Brilliant!!! Thanks a lot for your tremendous help. Exactly what  I needed. Thanks again. Hopefully we can catch up soon in KL. All the best!