182 days rule

Hi All,

Today I joined a company in KL. So I have some specific questions.

1) Do I need to be in Malaysia for continuous 182 days to have resident tax status? Is it fine if I fly out of Malaysia for any number of days (lets say 4-5 weeks) for business trips?

2) Also in this 182 days, am I only allowed to take leave for 14 days in case I want to visit India on vacation?

3) How about if I visit India on business trip for 3 weeks? How do people differentiate if the trip is business or vacation?

Thanks

1. You need to be in Malaysia for a total of 182 days out of the 365 in a tax year.

2. The 14 day rule is not relevant to you because you didn't work in Malaysia in 2018 so don't have 2 tax years to link in order that both are treated as being tax resident.

3. You just need to be in Malaysia for 182 days from today to 31st December 2019.

Hi Akash,

Can you please help answer your point 1 as I am also in similar situation ?

1) Do I need to be in Malaysia for continuous 182 days to have resident tax status? Is it fine if I fly out of Malaysia for any number of days (lets say 4-5 weeks) for business trips?

Does this has to be continuous 182 days or within a year total 182 days ? as I will be joining a company in KL and after staying there for 1 month , I wanted to visit India and then come back. Is it ok or will I have to pay 26% tax ?

Please advise.

Hi Akanksha,

182 days in a year. You can visit India and come back to KL. Need not be continuous 182 days.

Hope this helps.