Malaysia Tax Filing Guide

Filing Deadlines — Form BE and Form M

• Form BE (resident) — April 15 for e-filing: The resident individual must file the Form BE (the "Borang BE" — the "resident individual income tax return") by April 15 of the following year for the e-filing. For the year of assessment 2026 (the "YA 2026"), the e-filing deadline is April 15, 2027. The paper filing deadline for the Form BE is April 30 — however, the LHDN strongly encourages the e-filing, and the paper filers who file by April 30 may face the processing delays.
• Form M (non-resident) — April 30: The non-resident individual (the "individu bukan pemastautin") must file the Form M (the "Borang M" — the "non-resident individual income tax return") by April 30 for the e-filing or the paper filing. The non-resident is NOT entitled to the personal reliefs and must pay the tax at the flat rate of 30% on the gross Malaysian-source income.
• Form E (employer) — March 31: The employer must file the Form E (the "Borang E" — the "employer's return") by March 31 of the following year. The Form E reports the employees' income, the PCB deductions, and the EPF contributions. The employer must issue the EA Form (the "Borang EA" — the "annual salary statement") to each employee by February 28.

e-BE and e-M Filing — MyTax Portal

• MyTax portal: The e-filing is conducted through the official "MyTax" portal (the "Portal MyTax" — the "LHDN e-filing system") at mytax.hasil.gov.my. The taxpayer must register for the "e-BE" (for the residents) or the "e-M" (for the non-residents) through the MyTax account. The e-filing is available from March 1 to April 15/30 of the following year.
• Digital identity — MyKad and MyDigital ID: The e-filing requires the authentication through: (a) the MyKad (the "national identity card") — the PIN-based authentication using the card reader; (b) the MyDigital ID (the "digital identity" — the "mobile phone-based authentication"); (c) the "e-Daftar" (the "online registration") — for the first-time filers. The MyDigital ID is the preferred authentication method for the 2026 filing season.
• Pre-filled data — e-BE: The MyTax portal pre-fills the e-BE with the data from the employers (the "EA Form data") and the financial institutions (the "interest income" and the "dividend income" — the "e-Penyata" data). The taxpayer must verify the pre-filled data and add the additional income (the "business income", the "rental income", the "foreign income", and the "other income").

Monthly PCB Withholding (Potongan Cukai Bulanan)

• PCB — monthly tax deduction: The PCB (the "Potongan Cukai Bulanan" — the "Monthly Tax Deduction") is the system under which the employer deducts the income tax from the employee's monthly salary and remits it to the LHDN. The PCB is calculated based on the employee's monthly salary, the EPF contribution, and the reliefs claimed. The PCB schedule is published by the LHDN annually (the "Jadual PCB 2026").
• PCB remittance: The employer must remit the PCB to the LHDN by the 15th of the following month (the "tarikh akhir" — the "due date"). The remittance is made through the "e-PCB" (the "electronic PCB filing and payment") or the "FPX" (the "Financial Process Exchange" — the "online payment gateway"). The late remittance attracts the penalty of 10% per year (the "penalti 10% setahun").
• PCB vs annual filing: The PCB is the "pay-as-you-earn" (PAYE) system — the total PCB deducted during the year is credited against the final tax liability computed in the annual Form BE. If the total PCB exceeds the final tax liability, the excess is refunded. If the PCB is less than the final tax liability, the balance must be paid by the filing deadline.

Tax Payment and Late Filing Penalties

• Tax payment methods: The tax payment may be made through: (a) the "e-Bayar" (the "online payment" through MyTax) — the FPX or the credit card; (b) the "TELE-BAYAR" (the "telephone banking"); (c) the "e-CP" (the "instalment payment" — the "monthly instalments for the tax due above MYR 3,000"); (d) the bank over-the-counter (the "walk-in payment" at the LHDN counter or the selected banks).
• Late filing penalties: The late filing of the Form BE or the Form M attracts the penalty: (a) the first 30 days — NO penalty (the "grace period"); (b) 31 to 60 days — 10% of the tax due; (c) 61 to 90 days — 15%; (d) 91 to 120 days — 20%; (e) beyond 120 days — the LHDN may issue the "notice of assessment" and impose the additional penalty up to 45%. The penalty is in addition to the 10% annual interest on the unpaid tax.
• Instalment payment — e-CP: The taxpayer who expects the balance tax payable of MYR 3,000 or more must apply for the "e-CP" (the "instalment payment plan"). The instalments are paid in the 6 equal monthly instalments from March to August of the following year. The late instalment attracts the penalty of 10% per year.

FAQs

Who needs to file the tax return in Malaysia?

The individual with the chargeable income (the "pendapatan bercukai" — the "taxable income") exceeding the personal relief of MYR 9,000 must file the tax return. In practice, the individual with the annual gross income exceeding approximately MYR 34,000 (the "filing threshold" — the "threshold for the mandatory filing") must file the Form BE. The self-employed individuals must file regardless of the income level.

Can I file the joint return with my spouse?

No. Malaysia does NOT allow the joint filing for the married couples. Each spouse must file the separate tax return (the "Form BE" individually). However, the spouse may claim the "spouse relief" (the "pelepasan pasangan" — the "spouse relief" of MYR 4,000) if the spouse has NO income or the income is below the filing threshold.

What is the penalty for the incorrect filing?

The incorrect or the incomplete filing may result in the penalty of up to 100% of the tax undercharged (the "penalti 100%") if the LHDN determines the negligence or the wilful evasion. The voluntary disclosure (the "pendedahan sukarela" — the "voluntary disclosure") before the LHDN's audit reduces the penalty to 10% to 50%.