How to File Income Tax in Malaysia Using e-Filing

Most people hate tax season.

Maybe I’m weird, but I actually like it. It’s when I get some of my hard-earned money back from the government.

I ‘m starting to understand why people hate it though. Most people aren’t experts in tax, and it can seem utterly confusing. Even the e-filing system (which was supposed to make things easy) isn’t that simple to use.

So I’m here to help. From my friends at iMoney, here’s the ultimate step-by-step guide on how to file your taxes in Malaysia using e-filing.

 

* * * * * * * *

 

Taxpayers (who do not derive income from any business) using the e-filing system now have until 15th May 2016 (extended deadline) to submit their income tax returns.

Here’s how to go about it.

Infographic of e-Filing

 

1. Go to e-filing website

When you arrive at IRB’s official website, look for ezHASIL and click on it. At the various options available on the ezHASIL page, choose “myTax.” This will lead you to the main page of the the e-filing system.

Screenshot of ezHASIL system

 

2. Login to e-filing website

Next, key in your MyKad identification number (without the dashes), and your password.

Screenshot of eFiling login screen

 

If you’ve forgotten your password, click on “Forgotten Password” (Terlupa Kata Laluan). This link will take you to another page to key in your MyKad identification number, followed by your email address registered with the IRB. A password reset link will then be sent to your email from which you can create a new password.

Screenshot of forgotten password

 

3. Proceed to e-Borang

Once you’ve logged in, under the e-filing section, click on “e-Borang” and that will take you to your tax e-filing form.

Screenshot to select e-Borang

4. Go to e-BE

Choose your corresponding income tax form (i.e. e-BE if you don’t have business income), and choose the assessment year (tahun taksiran) 2015.

Screenshot to select e-BE and year

 

5. Ensure all your individual details are correct

Ensure all your basic individual details are correct. Change it if it doesn’t display your latest information.

Screenshot of individual details

 

6. Declare your income details

Key in your income details according to the relevant categories. Also fill in the total of your monthly tax deductions (PCB), if any. You can find this information in the EA Form provided by your employers. If you’ve not declared any previous years’ income, you need to declare it under “Pendapatan Tahun Kebelakangan Yang Belum Dilaporkan.

Screenshot of income details

 

7. Fill in your tax reliefs, rebates and exemptions accordingly

Key in your tax reliefs, rebates and exemptions. Understand the tax reliefs available and identify which are applicable to you to save on income tax. Make sure you retain the proof of purchase or spending for items you are claiming for up to seven years.

Screenshot of tax reliefs, rebates and exemptions

 

8. Check the total taxes you are due or you have overpaid

Once you’ve filled up all the reliefs and rebates, the system will automatically calculate your taxes and let you know if you have balance or excess income tax payment.

Screenshot of overpaid taxes

 

9. Declare, sign and send

The final step is to declare that all the information provided is true. Then, you need to electronically sign the form and submit it (Tandatangan & Hantar).

Screenshot of income tax declaration

 

10. Pay your income tax

If you have taxes due, you can pay through various methods , such as e-banking, collection agents, and ATM. You can also pay your income tax via credit card.

If you’ve paid income tax in excess via monthly tax deductions, the excess amount will be reimbursed to you via the bank account details you provided. IRB will refund the excess within 30 working days.

Taxpayers who use the conventional (non-e-filing) method of filing taxes have to wait up to 90 days to be refunded.

p.s. Those who do not own a computer or have Internet access can access the e-Filing system at special computer counters at IRB branches.

p.p.s. Let me know if you have any questions!

 

 

Find out more about Malaysian income tax here.

This article was written by Rebecca Shamasundari, and contributed by iMoney.my, Malaysia’s leading financial comparison website. To compare and apply for the best financial products, such as credit cardshome loans and personal loans, visit www.iMoney.my

I’m always on the lookout for interesting stories that are meaningful and helpful. If you’d like to contribute to mr-stingy, email me at mrstingy2014(at)gmail.com

Pic at Pixabay

Want more mr-stingy?
Subscribe to get FREE updates and information about the art of stinginess.

I respect your privacy and will never spam you.

27 comments

  • Hello,
    may I know i am a sole proprietor,so I derive an income from business,can I do e filing by my ownself without through the accounting firm?And what form should I file ?Is it only borang B?
    2)How to register an account for e filing?Because last time is by manual.
    Thankyou.

    • Hey,

      1. Yeah, of course you can do it by yourself. Yeah, I think it’s Form B.
      2. To register for e-filing, all you need to do is to go to a nearby LHDN branch and register yourself.

  • hi MR Stingy

    i have a question to seek for your advise if let say i have sole proprietor started in 2016, but i havent closed my account, and i already submited borang BE (working for other company) for YA2016. thinking to submit borang B for my enterprise for YA2017 in next year, can i?

  • How to fill borang B for the first time? I m confused with the Maklumat perniagaan segment.
    The guide for borang B not able to help me either.

    • Hey Zafry,

      Borang B is only if you’re running a sole proprietorship. You sure you got the right form?

  • For an LLP, What i got was that i need to file Form E & Form PT.

    Where do I submit Form E?

    • Form PT is for your LLP tax. For personal tax you should submit from e-BE, which you can do online at LHDN’s website.

  • Hi Aaron,

    Thanks a lot on your guidance on personal tax e-filing.

    I would like to register LLP for a new business, currently I’m doing filing for form B. Appreciate if you could share your experience and guide on tax filing for your LLP. I wish to have clear information explained to my partner before we confirm to register the LLP as the taxation of LLP and personal are filed separately.

    Look forward your articles sharing experience/ideas about taxation of LLP and guide of e-Filling (Form P?).

    Cheers.

  • Hi Mr Stingy
    Came across your article as I’m looking online to “how to submit Brg B for first time”. I used to file under BE and wld like to change to B this year. And as per last comment above, so are you 🙂 I’m hoping to learn from you as I’ve been so confused by it all for weeks now.. Hahaha…

    • Hey Seet,

      Since an LLP files tax separately from the partners, I filed borang BE again this year. If you have any specific questions though, drop me an email and I’ll see if I can help.

  • This really help me a lot but i was confusing about small business like in industry makeup line.

    Do i need to submit as personal or enterprise since i already register SSM last year 2016.

    would please explain about it, i can’t get any assist from it.

    • You’re welcome Jessica,

      Tax filing depends on how you registered your business. If you registered under sole prop or partnership, then income tax is combined between your personal and business. If you registered as an LLP or Sdn. Bhd., then you will need to file tax separately: one for personal, one for business.

  • Good day Mr. Stingy,

    It has only been 1 year plus since I started working after I graduated and I’m working at the first company where you started working after you graduated too (we have something in common, hehe). Hence, I am anxiously anticipating my first time of doing e-filing for assessment year 2016. I have done a little bit of reading here and there and asked around on how to do it (and how to be benefited/protect yourself from it). However, coming from non-financial background, I still find myself clueless about it.

    Therefore, appreciate if you could post an article on Income Tax Guide 101 (or something like that) for assessment year 2016 for newbies like me. I will make sure to share your article on every possible medium that I have (already been doing that and my peers LOVE your articles).

    Thank you in advance and looking forward to more articles from you! 🙂

    • Thanks Nadia,

      Hope things are going well for you in these tough oil days. Yes, I’ll definitely share some guidance on income tax as the deadline gets nearer. I might not write them myself, as there are a lot of other helpful articles already on it — and I’d rather write about things that haven’t been covered well yet. But I’ll definitely share good articles on my Facebook page. (Follow me there?)

      Income tax season should kick in around end February, once you’ve received your EA Form from your employers. That’s when you can start doing the filing.

      Hope you continue to come back for more, and thanks for sharing my stuff! I really appreciate your support!

  • Hi Mr Stingy,

    I read from imoney (https://www.imoney.my/articles/income-tax-2016/how-does-monthly-tax-deduction-mtdpcb-work-in-malaysia), that “Starting from Malaysia income tax Year of Assessment 2014 (tax filed in 2015), taxpayers who have been subjected to MTD are not required to file income tax returns if such monthly tax deductions constitute their final tax. However, they should still file if they want to reduce their taxable income through reliefs.”

    doe this means that if my company does MTD for me, I don’t need to file income tax anymore right if I don’t have any income tax reliefs etc to file?

    Cheers and thanks.

    • Hi Ravel,

      Thanks for writing in. This means if your company does MTD, and you are happy with the MTD they deduct, then you do not need to submit an income tax return.

      Personally, I would never do this though. From my experience, the MTD amount is always higher than the real amount of tax you need to pay. I think doing income tax filing is worth doing as usually you’ll get money back.

  • But for your case, you have business income isn’t it? How does the borang B differs to average joes like us?

    • Hello Chee Keong,

      Here’s a sample of a borang B:
      http://www.hasil.gov.my/pdf/pdfborang/Borang_B_2014_1.pdf

      It’s a little more complicated since it includes financial information about your business as well as your personal.

      For 2015, I’m still using borang BE, as I haven’t “closed” my LLP’s first-year accounts yet. I’ll do that at the end of 2016, and start using borang B to declare my 2016 income. 🙂

Submit a comment

Your email address will not be published. Required fields are marked *