Read PAY2009STD.pdf text version

Know-How: LHDN 2009 ­ Relief deduction handling in UBS Payroll

Introduction

UBS Payroll application is meant to provide a simple and easy- to-use function to generate monthly payroll for paying wages, taxes, accumulating and paying benefits, making corrections to the employee's pay and/or benefits, generating mandatory/gazetted reports, and other miscellaneous aspects of payroll. This document is to illustrate the features and functions built in UBS Payroll application to meet the Malaysia Income Tax 2009 objective; which is:

To ensure STD paid is same or near to the actual tax amount (final tax)

The Malaysia Income Tax 2009 included the following proposals: i. ii. To allow Employee to claim reduction or rebate allowed under Income Tax Act 1967 (Act) for the purpose to determine monthly STD amount. Employer and Employee have the choice to remit STD for Benefit In Kind (BIK) and household benefit

Prerequisite: Successful installation of the UBS Payroll system

Scenario

Ali is married and the wife is not working. He has 4 children who are under 18 years old. Appended below is the salary information of Ali in January 2009: Basic Salary EPF Book Relief : RM 4,900.00 : RM 539.00 : RM 300.00

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

1

Prepared by: Sean Wong / Irene Mok

1. Settings

1.1. Company Setting 1 Go to Housekeeping Setup Parameter Setup

2

Click on `Company Details' tab, enter the company name and particulars in the `Company' section.

2

4

3

5

3 4 5

In the `Month' section, maintain this month payroll report date in both fields, `This Month' and `This Year'. In the `Payroll Manager' section, maintain the payroll manager's information. This is important when generating EPF, SOCSO and Income Tax reports. Click on <Apply> button to save and store this information.

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

2

Prepared by: Sean Wong / Irene Mok

2. Maintenances

2.1. Employees file Maintenance 1 Go to Personnel Add/Update Employees

2

At `Personal Details' tab, click on <Add> button

a

b

d

e

c

f

g h

3

Enter the employee's information. Listed below are the important details required for the processing of monthly salary: a. c. e. g. Employee No. Date of Birth Sex Child Relief Point b. d. f. h. Name I/C No. Marital Status Spouse Working

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

3

Prepared by: Sean Wong / Irene Mok

4

At `Pay' tab, enter the employee's salary information; listed below are the important fields that must be filled up: a. Job Title b. Date Commence c. Basic Rate

5

Click on <Save> button to save and store the employee's information

a

b

c

5

3. Transactions

During mid-month, the payroll personnel will normally enter that particular month payroll information such as attendance, claim, leave, allowance and etc into UBS Payroll system. Listed below are the features that will be used to update Ali's salary information for January 2009:

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

4

Prepared by: Sean Wong / Irene Mok

3.1. Update Pay 1 Go to Payments 2nd Half Payroll Add / Update Normal Pay

2

Click at `Basic Pay & Overtime' tab, enter Ali's days work details. This information will be used in the monthly salary calculation, for example: a. Working Days = 26 b. Days Work (DW) = 24 c. Public Holidays (PH) = 2

2

a b c

3

3

Click on <Save> button to save and store the records. The status of the record will change to `Update'. Click at `Relief' tab, enter Ali's relief details. This is a mandatory step set by LHDN that employees must fill up the form "TP1" (Tuntutan Perlepasan) for future reference purposes. Employer should take responsibility to enforce the employees to fill up the form with proper supporting documents attached.

4

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

5

Prepared by: Sean Wong / Irene Mok

4

Double click on grid to add Relief code

5

5

Double click on the grid to add or include current month relief for worker Ali, i.e RM300.00 on book relief.

7

6

6 7

Click on the <Add> button for the `Relief Code' combo box to be enabled. Click on icon to select from the list of available reliefs preset in the system. In this example, select TR0007 ­ Purchase of Books/Magazines/Journals/Similar Publications

8

9 11

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

6

Prepared by: Sean Wong / Irene Mok

8

Enter the employee's relief information, listed below are the important fields required to process of monthly salary: a. b. c. d. Company Name Receipt No. Relief Date (Note : The date set here must be within the current payroll month) Relief Amount

9

Click on the <Save> button to save and store the tax relief records

10 A dialog box is prompted when the record is successfully saved. Click <OK> button to confirm adding this relief item into the STD calculation

10

11 Click <Cancel> button to exit from the screen. The saved relief record is listed onto the listing pane of the `Relief" tab

Note: A `Tax Relief Table' is available in the UBS Payroll as shown in Appendix 1. Alternatively, user may also refer to the tax relief table stored at Housekeeping Setup Government Tables.

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

7

Prepared by: Sean Wong / Irene Mok

Note: If the UBS HRMS system is connected to UBS Payroll, the employee's tax relief, leave, claim and loan information can be easily exported from UBS HRMS system instead of having to re-key the information into UBS Payroll.

4. Process Pay

1 Go to Payments 2nd Half Payroll Process Pay

2

Click on the button at `Employee No.' field to filter the employee number for this month payroll processing. Click <OK> button to run the payroll process

3

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

8

Prepared by: Sean Wong / Irene Mok

2

3

4

A dialog box is prompted when the month's payroll is successfully generated. Click <OK> button to confirm completion of payroll process

Note: If the current month salary calculation includes Bonus and Commission, it is important to follow the sequence / steps on `Process pay' in order to calculate the current month STD accurately:

1st step 2 step

nd

Go to Payments -> 2nd Half Payroll -> Process

Go to Payments -> Bonus -> Process Pay Go to Payments -> Commission -> Process Pay

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

9

Prepared by: Sean Wong / Irene Mok

5. View / Print Pay Slip

5.1. View Pay Slip 1 Go to Payments 2nd Half Payroll View Pay Slip

2

Click <View Calculation> button to view the STD calculation details

2

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

10

Prepared by: Sean Wong / Irene Mok

3

In the "View Calculation" screen, the STD calculation details shown include different type of pays of STD calculation, such as Bonus, Commission, Director Fee and NonFixed Income. The manual STD calculation on how UBS Payroll application processes the STD result is further explained in Appendix 3.

5.2. Print Pay Slip 1 Go to Payments 2nd Half Payroll Print Pay Slip

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

11

Prepared by: Sean Wong / Irene Mok

2

Select `X ­ Pay Slip' option and click on <OK> button

2

3

Click <Preview> button to view the pay slip which has been generated

3

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

12

Prepared by: Sean Wong / Irene Mok

6. Reports 6.1 "Tax Relief Transaction List" and "Compensation / Gratuity Report" are two new reports added into UBS Payroll application. These new reports are meant for STD related info sheet for each employee. a. Go to Payments 2nd Half Payroll Add/Update Normal Pay and click on <More> button to set the "Gratuity" details

a1

a2

a3

b. Go to Payments 2nd Half Payroll Management Reports

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

13

Prepared by: Sean Wong / Irene Mok

Sample report of "Tax Relief Transaction Listing"

Sample report of "Compensation/Gratuity Report MB10"

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

14

Prepared by: Sean Wong / Irene Mok

6.2

Income Tax Report Employer is required to prepare form CP39 for submission to LHDN before 10th of every month. This form CP39 comes with information on monthly income tax deduction of the employees. Penalties will be imposed for late submission. Listed below are simple steps on how UBS Payroll application generates the report:

1

Go to Government Income Tax Reports

2

TP 1 report a. Select TP 1 (new addition to the list of reports), fill in the details for "Disedia Oleh" section and then click <OK> button to generate the new TP 1 report

2a

2b

2c

b. Click on the <Preview> button to view the form TP 1 which has been generated

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

15

Prepared by: Sean Wong / Irene Mok

Sample report of form "TP 1" (Page 1):

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

16

Prepared by: Sean Wong / Irene Mok

Sample report of form "TP 1" (Page 2):

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

17

Prepared by: Sean Wong / Irene Mok

6.3

CP 39 report a. Select CP 39, and then click on <OK> button

b. Click on the <Preview> button to view the form CP39 which has been generated

3

Sample report of form "CP39":

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

18

Prepared by: Sean Wong / Irene Mok

6.4. CP 8A report (Borang EA) a. Additional fields and mechanism are incorporated into the system to cater for latest declaration requirement when generating EA Form. b. Go to Government Income Tax Reports and select CP 8A report option c. Click <Generate No. Siri> button to start the generating process. d. Click <Yes> button to confirm generating process e. Click <OK> button after generating process is completed f. Click <Generate> button to proceed with generating the EA Form figures.

g. Click <OK> button to start the generating process and <OK> button again after generating process is completed

d

b

c

e f

g

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

19

Prepared by: Sean Wong / Irene Mok

h. Click <Update> button to update the values generated in steps (c) and (g) above i. Click on "Taxable Income / Allowance / Benefit" tab to verify the calculated figures

h

i

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

20

Prepared by: Sean Wong / Irene Mok

j.

Click on "Non- Taxable Income / Allowance / Benefit" tab to edit taxable figure where necessary. Click <Save> button to save the values and then click <Exit> button to close the screen and back to the Income Tax Reports screen.

j

k

k. Click <OK> button to generate the CP 8A report

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

21

Prepared by: Sean Wong / Irene Mok

Sample report of form "CP8A" (also known as Borang EA):

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

22

Prepared by: Sean Wong / Irene Mok

6.5. CP 8 report (Borang E) The information set in the system can now be generated into the E Form report : a. Bilangan pekerja

b. Potongan cukai pendapatan ­ submission to LHDN for declaration

c. Maklumat mengenai potongan cukai

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

23

Prepared by: Sean Wong / Irene Mok

6.6

Additional Information Additional columns, "EA and Relief Code", are added into the Allowance Table for allowance calculation and positioning of the values to be printed in Borang E (CP 8) and Borang EA (CP 8A) respectively. a. Go to Housekeeping Setup Tables maintenance ­ Allowance Table

b

c

b. EA column ­ the effects on "Borang EA" depending on the line specified: Line No. 1 3 5 16 Effects on Borang EA (CP 8A) Move the value to "Gaji kasar, gaji upah atau gaji cuti" and normally used for leave allowance Move value to allowance row "Tip kasar, prekuisit, penerimaan sagu hati atau elaun-elaun lain" Move value to "Nilai kereta and Petrol" Move value to "Lain-lain (misalnya makanan dan pakaian)"

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

24

Prepared by: Sean Wong / Irene Mok

c. Relief Code column ­ the effects on PCB calculation: User needs to specify the correct relief code against the allowance set. This is to ensure the correct capping is referred and deducted when PCB calculation takes place during the monthly payroll processing. The effect will be reflected in both forms, Borang E and Borang EA accordingly. The excess after capping will be subjected to tax and be reflected accordingly in the Borang EA as well.

7. Month End Process

Month end process will close the current month (January) transaction and move on to the next month (February). 1 Go to Housekeeping Month End

2

Before running the month end process, user may decide to select their preferred option to close the current month transactions. The following options are available in UBS Payroll system: No. a. OR b. c. Option Move forward Transactions Remove Transactions Update Working Days Action All basic pay details (including fixed allowance and deduction) for each will be copied to coming month All basic pay details will be removed Set the 1st and 2nd half payroll working days for the coming month

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

25

Prepared by: Sean Wong / Irene Mok

3

3

Click <OK> to start running the month end process

4. A dialog box will be prompted to alert user to take a backup before proceeding with the month end process. Click <Yes> button to continue with the process.

4

5. Another dialog box will be prompted upon completion of the month end process

5

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

26

Prepared by: Sean Wong / Irene Mok

Appendixes

Appendix 1: TAX RELIEF TABLE

Relief ID TR0001 TR0002 TR0003 TR0004 TR0005 TR0006 TR0007 TR0008 TR0009 TR0010 TR0011 TR0012 TR0013 TR0014 TR0016 TR0017 TR0018 TR0019 TR0020 TR0021 TR0022 TR0023 TR0024 Item Life insurance Medical expenses for own parents certified by medical practitioner Basic supporting equipment for disabled self, spouse, child and parent disabled individual Education fees (self) for acquiring law, accounting, Islamic financing, technical vocational, industrial, scientific or technological skills or qualifications Complete medical examination for self, spouse or child Purchase of books / magazines / journals / similar publications (except newspaper and banned reading materials) Purchase of personal computer for individual Net deposit in Skim Simpanan Pendidikan National Payment of alimony to former wife Disable husband / wife Education and medical insurance for self, spouse and child Purchase of sports equipment Perquisites extended to award related to innovation, productivity & efficiency such as Six Sigma award Parking allowance or parking fees Meal allowance Mobile phone, hand phone bills, pager, PDA & internet subscription Medical benefit extended to maternity, Ayurvedic and Acupuncture Subsidies on interest on loans up to RM300,000 (housing, passenger motor vehicle & education) Official Petrol Non Official Petrol Allowance or subsidies for childcare Medical check-up Capping 6,000/yr 5,000/yr 5,000/yr 6,000/yr 5,000/yr 4,500/yr 1,000/yr 3,000/3yrs - 1 claim 3,000/yr 3,000/yr 3,500/yr 3,000/yr 300/yr 2,000/yr Fully Exempted Fully Exempted Fully Exempted Fully Exempted Fully Exempted 6,000/yr 2,400/yr 2,400/yr 500.00/yr

* Employee EPF Contribution is included. Listed below are the useful URLs for further details of the personal tax relief: http://www.hasil.org.my/melayu/bm_NO3_11.asp http://www.gov.my/MyGov/BI/Directory/Citizen/TaxationAndCollections/IncomeTax/IncomeTaxes

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

27

Prepared by: Sean Wong / Irene Mok

Appendix 2: SPECIFICATION FOR STD CALCULATIONS USING COMPUTERIZED CALCULATION METHOD IN UBS PAYROLL SYSTEM

1. Schedular Tax Deduction (STD) formula for computerised calculation method

STD for current month = [(P ­ M) x R + B] ­ (Z + X) n+1 Net STD = STD for current month ­ zakat and fee/levy for current month

Where P = [ (Y ­ K*) + (Y1 ­ K1*) + (Y2 ­ K2*) x n] + (Yt ­ Kt*)] ­ [D + S + 1000C + (LP + LP1)]

P (Y ­ K) Y K

Total chargeable income for a year; Total accumulated net remuneration including net additional remuneration which has been paid to an employee until before current month including net remuneration which has been paid by previous employer (if any); Total monthly gross remuneration and additional remuneration which has been paid including monthly gross remuneration paid by previous employer (if any); Total contribution to EPF or other Approved Scheme made on all remuneration (monthly remuneration, additional remuneration and remuneration from previous employer) and life insurance premium paid (including premium claimed under previous employment, if any) not exceeding RM6,000.00 per year; Current month's normal remuneration; Contribution to EPF or other Approved Scheme and life insurance premium paid for current month's remuneration subject to total qualifying amount not exceeding RM6,000.00 per year; Estimated remuneration as per Y1 for the following month; Estimated balance of total contribution to EPF or other Approved Scheme and life insurance premium for the qualifying monthly balance [[RM6,000 (Limited) ­ (K + K1 + Kt)]/n] or K1whichever is lower; Net additional remuneration for current month; Gross additional remuneration for current month; Contribution to EPF or other Approved Scheme for current month's additional remuneration subject to total qualifying amount not exceeding RM6,000.00 per year; Remaining working month in a year; Remaining working month in a year including current month; Deduction for individual of RM8,000.00; Deduction for spouse of RM3,000.00; Number of children.

Y1 K1 Y2 K2 Y1 ­ Kt Yt Kt n n+1

D S C

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

28

Prepared by: Sean Wong / Irene Mok

Value of D, S and C are determined as follows:

Category Category 1 Category 2 Category 3 Single Married and spouse is not working Married and spouse is working Marital Status Deduction value (in RM) D (individual) 8,000.00 8,000.00 8,000.00 S (spouse) 0.00 3,000.00 0.00 C (children) 0.00 number of children number of children

LP LP1 M R B Z X

Other accumulated allowable deductions including from previous employment (if any); Other allowable deductions for current month; K + K1 + K2 +Kt not exceeding RM6,000.00 per year; Amount of first changeable income for every range of chargeable income a year; Percentage of tax rates; Amount of tax on M less tax rebate for individual and spouse (if qualified); Accumulated fee/zakat paid other than fee/zakat for current month; Accumulated STD paid for previous month including from previous employment (including STD on additional remuneration).

Schedule 1 : Value of P, M, R and B

P (RM) 2,500 ­ 5,000 M (RM) 2,500 5,000 20,000 35,000 50,000 70,000 100,000 R (%) 1 3 7 12 19 24 27 B (Category 1 & 3) (RM) -400 -375 75 1,525 3,325 7,125 14,325 B (Category 2) (RM) -800 -775 -325 1,525 3,325 7,125 14,325

5,001 ­ 20,000 20,001 ­ 35,000 35,001 ­ 50,000 50,001 ­ 70,000 70,001 ­ 100,000 Exceeding 100,000

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

29

Prepared by: Sean Wong / Irene Mok

2. Additional remuneration formula for computerised calculation method

Step Formula and calculation 1 Determine STD on net remuneration for a year (not including current month's additional remuneration [A] [B] Determine category of employee Determine chargeable income for a year [P]; P = [ (Y ­ K*) + (Y1 ­ K1*) + (Y2 ­ K2*) x n] + (Yt ­ Kt*)] ­ [D+S+1000C + (LP + LP1)] where (Yt ­ Kt) = 0 [C] Determine monthly STD for net normal remuneration. Once value of P in Step [B] is determined, value of M, R and B are determined based on Schedule 1 below: Schedule 1 : Value of P, M, R and B

P (RM) 2,500 ­ 5,001 ­ 20,001 ­ 35,001 ­ 50,001 ­ 5,000 20,000 35,000 50,000 70,000 M (RM) 2,500 5,000 20,000 35,000 50,000 70,000 100,000 R (%) 1 3 7 12 19 24 27 B (Category 1 & 3) (RM) -400 -375 75 1,525 3,325 7,125 14,325 B (Category 2) (RM) -800 -775 -325 1,525 3,325 7,125 14,325

70,001 ­ 100,000 Exceeding 100,000

STD for current month = [(P ­ M) x R + B] ­ (Z + X) n+1 Net STD = STD for current month ­ zakat and fee/levy for current month [D] Determine total STD for a year Total STD for a year = Total paid accumulated STD + [STD for current month at Step [C] x remaining month in a year include current month] = X + [(STD for current month at Step [C] x (n + 1)]

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

30

Prepared by: Sean Wong / Irene Mok

Step Formula and calculation 2 Determine chargeable income for a year [P] (including additional remuneration for current month) and additional remuneration which has been paid) [A] Determine category of employee. [B] Determine chargeable income for a year [P]; P = [ (Y ­ K*) + (Y1 ­ K1*) + (Y2 ­ K2*) x n] + (Yt ­ Kt*)] ­ [D+S+1000C + (LP + LP1)] 3 Determine total tax for a year based on value of P in Step 2[B]. Value of M, R and B are based on value as per Schedule 1 below: Schedule 1 : Value of P, M, R and B

P (RM) 2,500 ­ 5,001 ­ 20,001 ­ 35,001 ­ 50,001 ­ 5,000 20,000 35,000 50,000 70,000 M (RM) 2,500 5,000 20,000 35,000 50,000 70,000 100,000 R (%) 1 3 7 12 19 24 27 B (Category 1 & 3) (RM) -400 -375 75 1,525 3,325 7,125 14,325 B (Category 2) (RM) -800 -775 -325 1,525 3,325 7,125 14,325

70,001 ­ 100,000 Exceeding 100,000

Total tax for a year = (P ­ M) x R + B 4 Determine STD for current month additional remuneration where total tax (Step 3) less total STD for a year (Step 1[D]), zakat and fee/levy which have been paid STD for additional remuneration = Step 3 ­ [Step 1[D] + zakat and fee/levy which have been paid] 5 STD for current month which shall be paid = Net STD + STD for current month on additional remuneration = Step 1[C] + Step 4

3. Terms and Conditions

i. ii. Calculations are limited to 2 decimal points, truncate the remaining figure: Example: 123.4567 = 123.45 Final amount of STD must be rounding up to the highest 5 cents: Example 1: 287.02 287.05 Example 2: 152.06 152.10

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

31

Prepared by: Sean Wong / Irene Mok

iii.

Amount of STD less than RM10 before deductions of zakat/fee or levy is not required to deduct the STD payment. However, if the amount of STD is less than RM10 after zakat/fee/levy, the employer is required to make the deduction. a) STD for Normal Remuneration Formula Example 1: STD for current month = RM 8.00 RM 0.00 Zakat for current month = RM 5.00 Net STD = RM 0.00 (zakat of RM5.00 carried forward to following month) Example 2: STD for current month = RM 8.00 RM 0.00 Zakat for current month = RM20.00 Net STD = RM 0.00 (zakat of RM20.00 carried forward to following month) STD for current month = RM15.00 Zakat for current month = RM 8.00 Net STD = RM 7.00 (STD must be paid) STD for current month = RM15.00 Zakat for current month = RM20.00 Net STD = RM 0.00 (zakat of RM5.00 carried forward to following month)

Example 3:

Example 4:

b) STD for Additional Remuneration Formula Example 1: Step 1[C] If STD for current month is less than RM10 STD for current month = RM 8.00 RM 0.00 Zakat for current month = Nil Net STD = STD for current month ­ zakat and fee/levy for current month = RM 0.00 ­ RM 0.00 = RM 0.00 Step 1[D] Total STD for a year = Total paid accumulated STD + [STD for current month at Step 1[C] x remaining month in a year including current month] = Total paid accumulated STD + [RM 0.00 x (n + 1)] STD for current month which shall be paid = Net STD + STD for current month on additional remuneration = Step 1[C] + Step 4 = RM 0.00 + Step 4

Step 5

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

32

Prepared by: Sean Wong / Irene Mok

Example 2: Step 1[C]

If STD for current month is less than RM10 and have zakat payment STD for current month = RM 8.00 RM 0.00 Zakat for current month = RM20.00 Net STD = STD for current month ­ zakat and fee/levy for current month = RM 0.00 ­ RM20.00 = ­ RM20.00

Step 1[D]

Total STD for a year = Total paid accumulated STD + [STD for current month at Step 1[C] x remaining month in a year including current month] = Total paid accumulated STD + [RM 0.00 x (n + 1)] STD for current month which shall be paid = Net STD + STD for current month on additional remuneration = Step 1[C] + Step 4 = RM20.00 + Step 4

Step 5

Example 3: Step 1[C]

If STD for current month is more than zakat payment STD for current month = RM15.00 Zakat for current month = RM 8.00 Net STD = STD for current month ­ zakat and fee/levy for current month = RM15.00 ­ RM 8.00 = RM 7.00

Step 1[D]

Total STD for a year = Total paid accumulated STD + [STD for current month at Step 1[C] x remaining month in a year including current month] = Total paid accumulated STD + [RM15.00 x (n + 1)] STD for current month which shall be paid = Net STD + STD for current month on additional remuneration = Step 1[C] + Step 4 = RM 7.00 + Step 4

Step 5

Example 4: Step 1[C]

If STD for current month is less than zakat payment STD for current month = RM15.00 Zakat for current month = RM20.00 Net STD = STD for current month ­ zakat and fee/levy for current month = RM15.00 ­ RM20.00 = ­ RM 5.00

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

33

Prepared by: Sean Wong / Irene Mok

Step 1[D]

Total STD for a year = Total paid accumulated STD + [STD for current month at Step 1[C] x remaining month in a year including current month] = Total paid accumulated STD + [RM15.00 x (n + 1)] STD for current month which shall be paid = Net STD + STD for current month on additional remuneration = Step 1[C] + Step 4 = RM 5.00 + Step 4

Step 5

iv. In the situation where employees do not receive any normal remuneration but only additional remuneration, then value of Y1 is equal to 0. v. If additional remuneration paid before the monthly remuneration, value of Y1 shall refer to the monthly remuneration which will be paid for that month. vi. STD is to be deducted from the employee's taxable remuneration only. All the tax exemption on allowances, benefit-in-kind and perquisites shall be excluded from the remuneration for STD purposes. Example: Normal remuneration Car allowance Meal allowance Childcare allowance Total : RM5,000 per month : RM 800 per month : RM 300 per month (Exempted) : RM 300 per month (Exempted ­ limit to RM2,400 per year) RM6,400 per month

To determine STD amount, taxable remuneration is as follow: Normal remuneration : RM5,000 per month Car allowance : RM 800 per month Total taxable remuneration RM5,800 per month vii. All allowable deductions are limited up to the maximum amount under the Income Tax Act 1967. viii. Total contribution to EPF or other Approved Scheme made on all remuneration (monthly remuneration, additional remuneration and remuneration from previous employer) and life insurance premium paid (including premium claimed under previous employment, if any) is not limited to RM500.00 per month but not exceeding RM6,000.00 per year. ix. Actual amount of STD (including the cents value) must be paid to LHDNM.

Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd.

34

Prepared by: Sean Wong / Irene Mok

4. Specification Format

INLAND REVENUE BOARD MALAYSIA

STD Data Specification Header

No 1 2 3 4 5 6 7 8 9 Field Name Record Type Employer No. (HQ) Employer No. Year of Deduction Month of Deduction Total STD Amount Total STD Records Total CP38 Amount Total CP38 Records Start 1 2 12 22 26 28 38 43 43 End 1 11 21 25 27 37 42 52 57 Length 1 10 10 4 2 10 5 10 5 Type Alphabet Num Num Num Num Num Num Num Num Notes H ­ `Header' Right justify with zeroes Right justify with zeroes YYYY MM (01 ­ 12) Right justify with zeroes and with 2 decimal point Right justify with zeroes Right justify with zeroes and with 2 decimal point Right justify with zeroes

Transaction Record Length = 57 Transaction record (Details):

No 1 2 3 4 5 6 7 8 9 10 11 Field Name Record Type Tax Reference No. Wife code Employee's Name Old IC No. New IC No. Passport No. Country Code STD Amount CP38 Amount Employee No. or Salary No. Start 1 2 12 13 73 85 97 109 111 119 127 End 1 11 12 72 84 96 108 110 118 126 136 Length 1 10 1 60 12 12 12 2 8 8 10 Type Alphabet Num Num Alphabet Alphanum Num Alphanum Alphabet Num Num Alphanum Notes D ­ `Detail' Right justify with zeroes 0­9 Left justify with spaces (include symbols of /,-, @, , ( ), , ` and ) A valid Old IC No. or just leave blank if not applicable A valid New IC No. (without `-` and must not be less than 12 digits) or just leave it blank if not applicable Left justify or just leave it blank if not applicable Refer to Country Code list Right justify with zeroes and with 2 decimal point Right justify with zeroes and with 2 decimal point Left justify

Transaction Record Length = 136 Know-How Document ­ LHDN 2009

© UBS Corporation Sdn. Bhd. 35

Created by: Sean Wong / Irene Mok

The Example of Data as required (IRB Diskette Specfication)

1 2 3 4 5 6 7 8 9

H D D D D D D

0291212306 0053136708 0674134910 1007134501 1054435508 0777135509 0383132508

0291212306 2002 05 0000835000 0 ABDUL HANIFAH MOHD ARIF 0 DULIP KUMAR S/O HARJEET 0 TAN MENG SOON 1 SABARIAH BT. ABDULLAH 0 ABE TAMURA 0 TATSURO KOJIYAMA

00006

0000150050

00002 A4457334 2887349 6753211 530706015461 780906035559 700725015720 J1294567 J2089982 JP JP 00090000 00080000 00045000 00120000 00300000 00200000 00000000 00000000 00000000 00000000 00050050 00100000 AB012283

KW01321

10

11

12

13

14

15

16

17

18

19

20

1. Record Type: H for Header 2. Employer's No. (Headquarter) Please complete with 10 digits without the letter E. Example 1: E 908915-10 have to be filled as 0090891510 Example 2: E 6918546-05 have to be filled as 0691854605 Example 3: E 90002135-00 have to be filled as 9000213500 3. Employer's No. Same as No. 2 above 4. Year of Deduction Please complete the year of deduction with 4 digits Example: Year 2005 have to be filled as 2005 5. Month of Deduction Example: Month of August have to be filled as 08

6. Total STD Amount Please complete the deduction amount without RM and decimal point Example: RM8350.00 have to be filled as 0000835000 7. Total STD Records The total must be tally with employees whom subject to STD Example: 6 employees have to be filled as 00006 8. Total CP38 Amount Please complete the deduction amount without the word RM and decimal point Example: RM1500.50 have to be filled as 0000150050 9. Total CP38 Records The total must be tally with employees whom subject to STD Example: 2 employees have to be filled as 00002

© UBS Corporation Sdn. Bhd. 36

Know-How Document ­ LHDN 2009

Created by: Sean Wong / Irene Mok

The Example of Data as required (IRB Diskette Specfication)

1 2 3 4 5 6 7 8 9

H D D D D D D

0291212306 0053136708 0674134910 1007134501 1054435508 0777135509 0383132508

0291212306 2002 05 0000835000 0 ABDUL HANIFAH MOHD ARIF 0 DULIP KUMAR S/O HARJEET 0 TAN MENG SOON 1 SABARIAH BT. ABDULLAH 0 ABE TAMURA 0 TATSURO KOJIYAMA

00006

0000150050

00002 A4457334 2887349 6753211 530706015461 780906035559 700725015720 J1294567 J2089982 JP JP 00090000 00080000 00045000 00120000 00300000 00200000 00000000 00000000 00000000 00000000 00050050 00100000 AB012283

KW01321

10

11

12

13

14

15

16

17

18

19

20

10. Record Type: D for Details 11. & 12. Reference No. and Wife Code A. Please complete the Tax Reference No. with 11 digit without SG/OG Example 1: SG 531367-08 (0) have to be filled as 00531367080 Example 2: OG10544355-08 (1) have to be filled as 10544355081 B. 1. For Male/Single Woman ­ the last digit is 0 2. For Married Woman ­ the last digit is between 0 until 9 C. If the tax reference no. is not known, please fill as 00000000000 13. Employee's Name Please complete the employee's full name as IC / Passport 14. & 15. Old / New Identity Card No. Please complete the IC No. for local employee (if applicable) Example 1: Old IC No. A 4457334 have to be filled as A4457334 Example 2: New IC No. 530706-01-5641 have to be filled as 530706015641 Know-How Document ­ LHDN 2009

16. Passport No. Please complete the Passport No. for foreign employee (if applicable) Example: J 1294567 have to be filled as J1294567 17. Country Code Please complete the Country Code for foreign employee only. The code is for which country that has issued the passport. 18. & 19. STD Amount and CP38 Amount Please complete the deduction amount without the word RM and decimal point Example 1: RM900.00 have to be filled as 0000090000 Example 2: RM500.50 have to be filled as 0000050050 20. Employee's No. Complete Employee's No. or Salary No. Example: AB012283 have to be filled as AB012283

© UBS Corporation Sdn. Bhd.

37

Created by: Sean Wong / Irene Mok

EXAMPLE OF CALCULATION STD Calculation for January

Case Study: Employee (Married) and wife working 3 children entitle for education Monthly normal remuneration for January EPF Additional deduction STD paid Additional remuneration ­ Bonus received in month of April = = = = RM 5,500.00 RM 605.00 Nil Nil EPF = RM 913.00

= RM 8,250.00

[A] Determine category of employee Category 3 / KA3 [B] Determine chargeable income for a year [P] Firstly determine value K2 K2 = Estimated balance of total contribution to EPF or other Approved Scheme and life insurance premium for the balance of the qualifying month = [ [RM6,000.00 (limited) ­ (K + K1 + Kt) ] /n ] or K1 whichever is lower = [ [RM6,000.00 ­ (RM0.00 + RM605.00 + RM0.00) ] /11 ] = RM 490.45 *Total EPF = = = = K + K1 + Kt + (K2 x n) RM6,000.00 (limit) RM0.00 + RM605.00 + RM0.00 + (RM490.45 x 11) RM6,000.00 (limit) RM605.00 + RM5,394.95 RM6,000.00 (limit) RM5,999.95 RM6,000.00 (limit) where n = 11 P = [ (Y ­ K*) + (Y1 ­ K1*) + [(Y2 ­ K2*) x n] + (Yt ­ Kt*)] ­ [D+S+1000C + (LP + LP1)] where (Yt ­ Kt) = 0 = [ (RM0.00 ­ RM0.00) + (RM5,500.00 ­ RM605.00*) + [(RM5,500.00 ­ RM490.45*) x 11] + (RM0.00 ­ RM0.00)] ­ [RM8,000.00 + RM0.00 + RM1,000.00(3) + (RM0.00 + RM0.00)] = [ [RM4,895.00] + [ (RM5,009.55 x 11) ] ­ [ RM8,000.00 + RM0.00 + RM3,000.00] ] = RM4,895.00 + RM55,105.05 ­ RM11,000.00 = RM49,000.05

Know-How Document ­ LHDN 2009 STD Calculation

© UBS Corporation Sdn. Bhd.

Created by: Sean Wong / Irene Mok

38

[C] Determine monthly STD for the net normal remuneration. Once value of P in Step [B] is determined, value of M, R and B are determined based on Schedule 1 above. STD for current month = [ (P ­ M) x R + B ] ­ (Z + X) n+1 = [RM49,000.05 ­ RM35,000.00] x 12% + RM1,525.00 ­ (RM0.00 + RM0.00) 11 + 1 RM267.08 RM267.10

=

STD Calculation for February

Case Study: Employee (Married) and wife working 3 children entitle for education Monthly normal remuneration for February EPF Additional deduction STD paid (January) [A] Determine category of employee Category 3 / KA3 [B] Determine chargeable income for a year [P] Firstly determine value K2 K2 = Estimated balance of total contribution to EPF or other Approved Scheme and life insurance premium for the qualifying monthly balance = [ [RM6,000.00 (limited) ­ (K + K1 + Kt) ] /n ] or K1 whichever is lower = [ [RM6,000.00 ­ (RM605.00 + RM605.00 + RM0.00) ] /10 ] = RM 479.00 *Total EPF = = = = K + K1 + Kt + (K2 x n) RM6,000.00 (limit) RM605.00 + RM605.00 + RM0.00 + (RM479.00 x 10) RM6,000.00 (limit) RM605.00 + RM605.00 + RM4,790.00 RM6,000.00 (limit) RM6,000.00 RM6,000.00 (limit) where n = 10 P = [ (Y ­ K*) + (Y1 ­ K1*) + [(Y2 ­ K2*) x n] + (Yt ­ Kt*)] ­ [D+S+1000C + (LP + LP1)] where (Yt ­ Kt) = 0 = [ (RM5,500.00 ­ RM605.00*) + (RM5,500.00 ­ RM605.00*) + [(RM5,500.00 ­ RM479.00*) x 10] + (RM0.00 ­ RM0.00)] ­ [RM8,000.00 + RM0.00 + RM1,000.00(3) + (RM0.00 + RM0.00)] = [RM4,895.00] + RM4,895.00 + [ (RM5,021.00 x 10) ] ­ [RM8,000.00 + RM0.00 + RM3,000.00] Know-How Document ­ LHDN 2009 STD Calculation

© UBS Corporation Sdn. Bhd.

Created by: Sean Wong / Irene Mok

= = = =

RM 5,500.00 RM 605.00 Nil RM267.10

39

= RM4,895.00 + RM4,895.00 + RM50,210.00 ­ RM11,000.00 = RM49,000.00

[C] Determine monthly STD for the net normal remuneration. Once value of P in Step [B] is determined, value of M, R and B are determined based on Schedule 1 above. STD for current month = [ (P ­ M) x R + B ] ­ (Z + X) n+1 = [RM49,000.00 ­ RM35,000.00] x 12% + RM1,525.00 ­ (RM0.00 + RM267.10) 10 + 1 RM267.08 RM267.10

=

STD Calculation for March

Case Study: Employee (Married) and wife working 3 children entitle for education Monthly normal remuneration for March EPF Additional remuneration Additional deduction i) Purchase of books ii) Medical expenses for parent RM RM Nil RM RM RM STD paid (January until February; RM267.10 + RM267.10) = RM [A] Determine category of employee Category 3 / KA3 [B] Determine chargeable income for a year [P] Firstly determine value K2 K2 = Estimated balance of total contribution to EPF or other Approved Scheme and life insurance premium for the qualifying monthly balance = [ [RM6,000.00 (limited) ­ (K + K1 + Kt) ] /n ] or K1 whichever is lower = [ [RM6,000.00 ­ ((RM605.00 x 2) + RM605.00 + RM0.00) ] /9 ] = RM 465.00 *Total EPF = = = = K + K1 + Kt + (K2 x n) RM6,000.00 (limit) (RM605.00 x 2) + RM605.00 + RM0.00 + (RM465.00 x 9) RM6,000.00 (limit) RM1,210.00 + RM605.00 + RM4,185.00 RM6,000.00 (limit) RM6,000.00 RM6,000.00 (limit) where n = 9 Know-How Document ­ LHDN 2009 STD Calculation

© UBS Corporation Sdn. Bhd.

Created by: Sean Wong / Irene Mok

= = = = =

5,500.00 605.00 100.00 200.00 300.00 534.20

40

P = [ (Y ­ K*) + (Y1 ­ K1*) + [(Y2 ­ K2*) x n] + (Yt ­ Kt*)] ­ [D+S+1000C + (LP + LP1)] where (Yt ­ Kt) = 0 = [ (RM11,000.00 ­ RM1,210.00) + (RM5,500.00 ­ RM605.00*) + [(RM5,500.00 ­ RM465.00*) x 9] + (RM0.00 ­ RM0.00)] ­ [RM8,000.00 + RM0.00 + RM1,000.00(3) + (RM0.00 + RM300.00)] = [RM9.790.00 + RM4,895.00 + [ (RM5,035.00 x 9) ]] ­ [RM8,000.00 + RM0.00 + RM3,000.00 + RM300.00] = RM60,000.00 ­ RM11,300.00 = RM48,700.00

[C] Determine monthly STD for the net normal remuneration. Once value of P in Step [B] is determined, value of M, R and B are determined based on Schedule 1 above. STD for current month = [ (P ­ M) x R + B ] ­ (Z + X) n+1 = [RM48,700.00 ­ RM35,000.00] x 12% + RM1,525.00 ­ (RM0.00 + RM534.20) 9+1 = RM263.48 RM263.50

STD Calculation for April (receive additional remuneration ­ using Additional Remuneration Formula)

Case Study: Employee (Married) and wife working 3 children entitle for education Monthly normal remuneration for April EPF Additional remuneration Additional deduction i) Purchase of books ii) Medical expenses for parent RM 5,500.00 RM 605.00 Nil RM 100.00 RM 200.00 RM 300.00 STD paid [January until March; (RM267.10 x 2) + RM263.50] = RM 797.70 Additional Remuneration ­ Bonus = RM8,250.00 EPF = RM913.00 = = = = =

Step 1 - Determine STD on net remuneration for a year (not including current month's additional remuneration) [A] Determine category of employee Category 3 / KA3

Know-How Document ­ LHDN 2009 STD Calculation

© UBS Corporation Sdn. Bhd.

Created by: Sean Wong / Irene Mok

41

[B] Determine chargeable income for a year [P] Firstly determine value K2 K2 = Estimated balance of total contribution to EPF or other Approved Scheme and life insurance premium for the qualifying monthly balance = [ [RM6,000.00 (limited) ­ (K + K1 + Kt) ] /n ] or K1 whichever is lower = [ [RM6,000.00 ­ ((RM605.00 x 3) + RM605.00 + RM0.00) ] /8 ] = RM 447.50

*Total EPF = = = =

K + K1 + Kt + (K2 x n) RM6,000.00 (limit) (RM605.00 x 3) + RM605.00 + RM0.00 + (RM447.50 x 8) RM6,000.00 (limit) RM1,815.00 + RM605.00 + RM3,580.00 RM6,000.00 (limit) RM6,000.00 RM6,000.00 (limit) where n = 8

P = [ (Y ­ K*) + (Y1 ­ K1*) + [(Y2 ­ K2*) x n] + (Yt ­ Kt*)] ­ [D+S+1000C + (LP + LP1)] where (Yt ­ Kt) = 0 = [ (RM16,500.00 ­ RM1,815.00*) + (RM5,500.00 ­ RM605.00*) + [(RM5,500.00 ­ RM447.50*) x 8] + (RM0.00 ­ RM0.00)] ­ [RM8,000.00 + RM0.00 + RM1,000.00(3) + (RM300.00 + RM300.00)] = [RM14,685.00 + RM4,895.00 + [ RM5,052.50 x 8 ]] ­ [RM8,000.00 + RM0.00 + RM3,000.00 + RM300.00 + RM300.00] = RM60,000.00 ­ RM11,600.00 = RM48,400.00

[C] Determine monthly STD for the net normal remuneration. Once value of P in Step [B] is determined, value of M, R and B are determined based on Schedule 1 above. STD for current month = [ (P ­ M) x R + B ] ­ (Z + X) n+1 = [RM48,400.00 ­ RM35,000.00] x 12% + RM1,525.00 ­ (RM0.00 + RM797.70) 8+1 RM259.47 STD for current month ­ zakat and fee/levy for current month RM259.47 ­ RM0.00 RM259.47

= Net STD = = =

Know-How Document ­ LHDN 2009 STD Calculation

© UBS Corporation Sdn. Bhd.

Created by: Sean Wong / Irene Mok

42

[D] Determine total STD for a year Total STD for a year = = = = = Total paid accumulated STD + [STD for current month at Step [C] x remaining month in a year including current month] X + [ (STD for current month at Step [C] x (n + 1) ] RM797.70 + [ (RM259.47 x (8 + 1)) ] RM797.70 + RM2,335.23 RM3,132.93

Step 2 ­ Determine chargeable income for a year [P] (including additional remuneration for current month) and additional remuneration which has been paid [A] Determine category of employee Category 3 / KA3 [B] Determine chargeable income for a year [P] Firstly determine value K2 K2 = Estimated balance of total contribution to EPF or other Approved Scheme and life insurance premium for the qualifying monthly balance = [ [RM6,000.00 (limited) ­ (K + K1 + Kt) ] /n ] or K1 whichever is lower = [ [RM6,000.00 ­ ((RM605.00 x 3) + RM605.00 + RM913.00) ] /8 ] = RM 333.37

*Total EPF = = = =

K + K1 + Kt + (K2 x n) RM6,000.00 (limit) (RM605.00 x 3) + RM605.00 + RM913.00 + (RM333.37 x 8) RM6,000.00 (limit) RM1,815.00 + RM605.00 + RM913.00 + RM2,666.96 RM6,000.00 (limit) RM5,999.96 RM6,000.00 (limit) where n = 8

P = [ (Y ­ K*) + (Y1 ­ K1*) + [(Y2 ­ K2*) x n] + (Yt ­ Kt*)] ­ [D+S+1000C + (LP + LP1)] where (Yt ­ Kt) = 0 = [ (RM16,500.00 ­ RM1,815.00*) + (RM5,500.00 ­ RM605.00*) + [(RM5,500.00 ­ RM333.37*) x 8] + (RM8,250.00 ­ RM913.00)] ­ [RM8,000.00 + RM0.00 + RM1,000.00(3) + (RM300.00 + RM300.00)] = [RM14,685.00 + RM4,895.00 + [ RM5,166.63 x 8 ] + RM7,337.00] ­ [RM8,000.00 + RM0.00 + RM3,000.00 + RM300.00 + RM300.00] = RM68,250.04 ­ RM11,600.00 = RM56,650.04 Know-How Document ­ LHDN 2009 STD Calculation

© UBS Corporation Sdn. Bhd.

Created by: Sean Wong / Irene Mok

43

Step 3 ­ Determine total tax for a year based on value of [P] in Step 2[B]. Value of M, R and B are based on value as per Schedule 1 below: Total tax for a year = (P ­ M) x R + B = (RM56,650.04 ­ RM50,000.00) x 19% + RM3,325.00 = RM4,588.50 Schedule 1 : Value of P, M, R and B

P (RM) 2,500 ­ 5,000 M (RM) 2,500 5,000 20,000 35,000 50,000 70,000 100,000 R (%) 1 3 7 12 19 24 27 B (Category 1 & 3) (RM) -400 -375 75 1,525 3,325 7,125 14,325 B (Category 2) (RM) -800 -775 -325 1,525 3,325 7,125 14,325

5,001 ­ 20,000 20,001 ­ 35,000 35,001 ­ 50,000 50,001 ­ 70,000 70,001 ­ 100,000 Exceeding 100,000

Step 4 ­ Determine STD for current month additional remuneration where total tax (Step 3) less total STD for a year (Step 1[D]), zakat and fee/levy which has been paid STD for additional remuneration = Step 3 ­ [Step 1[D] + zakat and fee/levy which has been paid] = RM4,588.50 ­ [RM3,132.93 + RM0.00] = RM1,455.57

Step 5 ­ STD for current month which shall be paid = = = = Net STD + STD for current month on additional remuneration Step 1[C] + Step 4 RM259.47 + RM1,455.57 RM1,715.04 RM1,715.05

NOTE: STD Calculations for the month of May until December are as per example above. Total remuneration, STD paid and the deductions/rebates will be accumulated and brought forward from month to month until month of December in a current year.

Know-How Document ­ LHDN 2009 STD Calculation

© UBS Corporation Sdn. Bhd.

Created by: Sean Wong / Irene Mok

44

Appendix 3: Manual STD working of Worker Ali (sample used in calculation above)

STD Calculation for January

Case Study: Employee "Ali" (Married) and wife not working 4 children under 18 years old Monthly normal remuneration for April EPF Additional remuneration Additional deduction i) Purchase of books = = = = RM 4,900.00 RM 539.00 Nil RM 300.00

[A] Determine category of employee K2KA4 = K2 : Wife not working KA4 : 4 kids under 18 years old [B] Determine chargeable income for a year [P] Firstly determine value K2 K2 = Estimated balance of total contribution to EPF or other Approved Scheme and life insurance premium for the balance of the qualifying month = [ [RM6,000.00 (limited) ­ (K + K1 + Kt) ] /n ] or K1 whichever is lower = [ [RM6,000.00 ­ (RM0.00 + RM539.00 + RM0.00) ] /11 ] = RM 496.45 *Total EPF = = = = K + K1 + Kt + (K2 x n) RM6,000.00 (limit) RM0.00 + RM539.00 + RM0.00 + (RM496.45 x 11) RM6,000.00 (limit) RM539.00 + RM5,460.95 RM6,000.00 (limit) RM5,999.95 RM6,000.00 (limit) where n = 11 P = [ (Y ­ K*) + (Y1 ­ K1*) + [(Y2 ­ K2*) x n] + (Yt ­ Kt*)] ­ [D+S+1000C + (LP + LP1)] where (Yt ­ Kt) = 0 = [ (RM0.00 ­ RM0.00) + (RM4,900.00 ­ RM539.00*) + [(RM4,900.00 ­ RM496.45*) x 11] + (RM0.00 ­ RM0.00)] ­ [RM8,000.00 + RM3,000.00 + RM1,000.00(4) + (RM0.00 + RM300.00)] = [[RM4,361.00] + [ (RM4,403.55 x 11)] ­ [RM8,000.00 + RM3,000.00 + RM4,000.00]] + RM300.00 = RM4,361.00 + RM48,439.05 ­ RM15,000.00 ­ RM300.00 = RM37,500.05

Know-How Document ­ LHDN 2009 STD Calculation

© UBS Corporation Sdn. Bhd.

Created by: Sean Wong / Irene Mok

45

[C] Determine monthly STD for the net normal remuneration. Once value of P in Step [B] is determined, value of M, R and B are determined based on Schedule 1 above. STD for current month = [ (P ­ M) x R + B ] ­ (Z + X) n+1 = [RM37,500.05 ­ RM35,000.00] x 12% + RM1,525.00 ­ (RM0.00 + RM0.00) 11 + 1 RM152.08

=

Current Period STD without Bonus = STD ­ Current Period Zakat = RM152.08 ­ RM0.00 = RM152.08 RM152.10

Note: Please also refer to the URL provided below for more details on the STD (Schedular Tax Deductions) information. http://www.hasil.org.my/melayu/pdf/NOTA%20PENERANGAN%20KPD%20JADUAL%20STD%2 02009.PDF

*** The End ***

Know-How Document ­ LHDN 2009 STD Calculation

© UBS Corporation Sdn. Bhd.

Created by: Sean Wong / Irene Mok

46

Information

46 pages

Find more like this

Report File (DMCA)

Our content is added by our users. We aim to remove reported files within 1 working day. Please use this link to notify us:

Report this file as copyright or inappropriate

955