Category: Article

Malaysia operates mostly under a self-assessment regime for income tax. Under the Income Tax Act 1967, residents are taxed on income derived from Malaysia, and non-residents on Malaysian source income. Chargeable income is computed by aggregating all taxable sources such as salary or wages, business or trade income, dividends, interest, royalties, rental income then applying allowable deductions, reliefs, personal allowances, and incentives where applicable.