Expatriate in Malaysia tax rate

Expatriate in Malaysia tax rate

You are non-resident under Malaysian tax law if you stay less than 182 days in Malaysia in a year, regardless of your citizenship or nationality.

Non-resident individual is taxed at a different tax rate on income earned/received from Malaysia.

Non-resident Tax rate

Types Of Income
Rate (%)
Business, trade or profession
Employment
Dividends
Rents

26

(Year Assessment 2010 – 2014)

25

(With Effect From Year Assessment 2015)

Public Entertainer
Interest
15
Royalty
10
Payments for services in connection with the use of property or installation, operation of any plant or machinery purchased from a non-resident
Payments for technical advice, assistance or services rendered in connection with technical management or administration of any scientific, industrial or commercial undertaking, venture, project or scheme
Rent or other payments for the use of any movable property

You will not be taxable if

  • Employed in Malaysia for less than 60 days
  • Employed on board a Malaysian ship
  • Age 55 years old and receiving pension from Malaysian employment
  • Receiving interest from banks
  • Receiving tax exempt dividends

If taxable, you are required to fill in M Form .

Get a consultant to provide you tax guide in Malaysia.

 

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