Some IRD staff cheat Malaysia tax payer by not giving the Tax declaration form

For those who already join the work force for a long time, this might be a bad news to you :
Many of you might overpay IRD(AkA income tax department) for not being informed on all eligible tax incentive benefit.

After google chat with my friend about E-filing and declaration, I am shock to learn that, IRD staff refuse to give her the Personal income tax declaration BE form.

And the excuses given are none other than, “You pay are not eligible to pay tax, so you don’t need to declare income tax.”

I am paying income tax for since my 3rd job, so I know it is a ultimate lies and cheat that IRD to say that.

In fact, in the old day, IRD give details tax filing information, including various rebates. That includes low income rebates.

No, you are not reading this wrong, and I am not crazy. In fact, I check again IRD tax guide and confirm, the clause is still inside, you will find the fact in Appendix E.

Rebate tax 1
INCOME TAX REBATE FOR INDIVIDUAL WITH CHARGEABLE INCOME LESS THAN RM 10,000

Each individual are eligible to get RM110 tax rebate if you chargeable income are less than RM10,000. Or RM833.33 per month.

For those who works in Mc Donald,KFC, 7-11, etc, that note exceed RM 833.33 per month you are eligible to enjoy this RM 110. No, this money is not given to you free, but just a incentive to relief your tax payment in the future.

Rebate tax 2
What happens if your income not exceed RM 2,500 per month but more than RM10,000? Now check the second tax rebate.

If you happens to pay ANY of this, you will get the rebate, EVEN you are not eligible to pay tax

  • Zakat/Fitrah, subject to maximum tax charges
  • Computer, fix rebate RM400
  • Levy on foreign workers,subject to maximum tax charges

Oh dear. No you see some serious problem here. If you are being mislead by IRD staff and didn’t filled in the BE form because your income are less than RM2,500 per month, you deserved to be called idiot.

1. For Muslim that pay zakat, if you didn’t declare, IRD can keep the money that are suppose to pay back to you.

Ali paid are low, he pay RM50 zakat per month. Because Ali salary are RM1999, he don’t need to pay tax. However, if Ali declare the his income, IRD must pay him RM50 x 12 months = RM600 if he declare his income

2. If your salary are low and buy ca computer and didn’t declare, IRD are happy to keep RM400, away from you.

For example, Miss Lion just bought a notebook for RM2500. Because her salary are just RM2499, she don’t need to pay tax. However, if Miss Lion declare and filled in BE form, she will get RM400 cheque from IRD at the end of the day.

3. Levy on foreign workers. Now this is something related to Selangor MB Khalid Ibrahim talk about the RM 10 foreign worker tax. Apparently, Ong Ka chuan are CHEATING and misleading the people.

Because under 3rd tax rebate conditions, if Selangor state charge RM10 levy, IRD must RETURN the money to family that hired maid. Apparently, MCA Ong Ka Chuan are cheating to say this move “burden” the employer.

I haven’t check the business tax section about foreign workers levy, but suspect some rebates are given to employer.

So are you ready to filled up the income tax form?

————–
More reference.

Tax guides for Malaysia

Tax technical guides

2 Responses to “Some IRD staff cheat Malaysia tax payer by not giving the Tax declaration form”

  1. Jasmine

    Wow, I am eligible to get lots of rebates then.

  2. Klaw

    The computer purchase tax rebate no longer exists. Now it’s a computer purchase tax relief of RM3000.

    However, looking at the BE form itself, if you have cukai dibayar balik (E15), after taking into account all rebates, it will still reset to a zero (0) in the Cukai kena dibayar (F1).

    So in fact, it looks like whatever tax returns you might have are limited to how much PCB you paid (F2) for that year, if any.

    Therefore, the counter staff MIGHT be right to say that since you didn’t pay any PCB and you’re earning just enough not to be taxed, you don’t even need to bother to file since you’ll get nothing back.

    Imagine the abuse this can come from, where a college student goes work for McDonalds for 1 week, and earns maybe RM100. If he qualifies to submit his tax file, then he gets to net another free RM350 in personal tax rebates. That doesn’t sound quite right.

    moo_t : A law is still a law. The RM110 rebates are in place for many years. Do you know that E-files ARE NOT FINALE? Last year, the Efile doesn’t calculate the correct rebate. And I suspect the efiles does’t show the rebate now.
    In addition, hasil.org.my info are scatter around, the RM3000 purchase tax relief are no where to be found, but the old info still intact. Yes, I notice it has been change to tax relief last year. Perhaps the changes are mean to blocked student doing part time to get the RM300 rebates when they work in fast food chain.

    I am not happy about the incentive change to tax relief. Student who work part time to relief their family burden should enjoy this. BTW, how many student you think will “abuse” this?

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