Monthly Tax Deduction (MTD):
Employers must deduct the appropriate amount of income tax from employees' salaries each month and remit it to the Inland Revenue Board of Malaysia.
What is the threshold for PCB in Malaysia?
What is the minimum salary for PCB in Malaysia? PCB applies to employees earning above the taxable income threshold, usually between RM3,000 to RM4,000 per month.
Who is subjected to PCB?
Who is Subject to PCB? All individuals earning an income in Malaysia, either as residents or non-residents, may be subject to PCB deductions if their income meets the taxable threshold. Employers must assess the eligibility of their employees for PCB and make appropriate deductions
Is PCB paid by employer or employee?
PCB is deducted by the employer from the employee's monthly salary and remitted to the Inland Revenue Board of Malaysia (LHDN) each payroll month.