Important: Paying taxes in Malaysia
June 30, 2017
Whether you are new to Malaysia or you are just about to leave, you will want to take note of the newly introduced MyEXPAT system. A recent launch of the MyEXPAT system enables the Inland Revenue Board to capture the income collection of expatriates and keeps track of the pending amount of taxes before you leave or enter the country.
As a precaution, here are two major consequences of not paying the total amount of taxes:
1. You are not allowed to leave or enter the country until taxes are fully paid
2. Failure to deduct taxes from foreign workers before they return to their respective countries will result in blacklisting, fines or imprisonment against employers or sponsors
It is recommended that you discuss with your employer about your taxes if they are not stated on your pay slip or visit your nearest IRB office to personally check on your pending taxes before you leave Malaysia. Read this article to learn more.