Tax update for Y/A 2018
Personal tax rates reduced
Personal tax rates for individuals earning less than RM9,000.00 per month or annual chargeable income of between RM20,001.00 and RM70,000.00 will be reduced by 2% for year of assessment 2018.
| Chargeable Income | Current (Y/A 2016) | Proposed |
|---|---|---|
| 20,001 – 35,000 | 5% | 3% |
| 35,001 – 50,000 | 10% | 8% |
| 50,001 – 70,000 | 16% | 14% |
Rental income tax exemption
50% of rental income for residential properties to be exempted from income tax for two years from years of assessment 2018 to 2020.
Tax exemption for women returning to work
Women returning to work after a minimum of 2 years away from the work force will enjoy tax exemption on their income for up to 12 consecutive months.
This will be effective for assessment years 2018 to 2020.
Applications for tax exemptions will have to be submitted to TalentCorp Malaysia.
