MALAYSIAN PERSONAL INCOME TAX 2009

 

Every individual is subject to tax on income earned in Malaysia or received in Malaysia from outside Malaysia. Income earned in oversea remitted to Malaysia by a resident individual is exempted from tax. A non-resident individual will be taxed only on the income earned in Malaysia.

 

The tax rate depends on the individual's resident status, which is determined by the duration of his stay in the country as stipulated under Section 7 of the Income Tax Act 1967. Generally, an individual who is in Malaysia for at least 182 days whether continuously or cumulatively in a calendar year is regarded as a tax resident.

 

 

Personal income tax rate for year 2009

 

Chargeable Income

RM

Rate

Tax (RM)

On the first

2,500

0%

0

On the next

2,500

1%

25

On the first

5,000

-

25

On the next

5,000

3%

150

On the first

10,000

-

175

On the next

5,000

3%

300

On the first

20,000

-

475

On the next

15,000

7%

1,050

On the first

35,000

-

1,525

On the next

15,000

12%

1,800

On the first

50,000

-

3,325

On the next

20,000

19%

3,800

On the first

70,000

-

7,175

On the next

30,000

24%

7,200

On the first

100,000

-

14,325

On the next

50,000

27%

13,500

On the first

150,000

-

27,825

On the next

100,000

27%

27,000

On the first

250,000

-

54,825

Exceeding

250,000

27%

-