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29 JAN 2024
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11:42 AM

Malaysian SMEs – Take Note Of These Key Tax Deadlines in 2024

Planning ahead is one of the most important parts of running a business. We trust that this mindset includes attention to your various tax obligations so you don’t receive a surprise fine or two. 

Here, we’ve put together a list of important tax forms, their deadlines and penalties for late submissions to help you meet all your LHDN deadlines in 2024.

Corporate Tax Deadlines – Mandatory Forms 

Below is an overview of the mandatory forms and their respective deadlines:

FormDeadline
Form E31 March 2024
Form EA28 February 2024
Form PCB229 February 2024
Form C7 months from the close of accounting period
Form CP2043 months from the date of incorporation (new companies)
OR
30 days from the start of basis period (existing companies)
Form CP5831 March 2024

Read on for a more in-depth understanding of the purpose behind each form.

1. Form E

Purpose: A statement to LHDN declaring an employer’s total number of employees, payments made to them, and overall tax deductions for the year. Every employee, whether full-time, part-time, or on a fixed-term basis, must be included.

Deadline: 31 March 2024 for general submission OR 30 April 2024 for e-filing submission

Penalty for non-compliance: Maximum fine of RM20,000, six months imprisonment, or both

Get Form E from: Given that LHDN is no longer accepting manual entries, companies have to use the LHDN MyTax portal for Form E submission compulsorily. All you have to do is log into your account and head to the Payroll section. Now, choose the Payroll Settings options and click on the Form E button. Next, click on the Generate Form E for 2023 option and select the Download Form E option to get the Form E for your business. 

2. Form EA

Purpose: Form EA is a summary of how much wages an employee earned in a year from their employer. It does not need to be submitted to LHDN, but instead to employees so they can accurately report their income to LHDN.

Employers must create a Form EA for every employee that has worked for more than seven days, regardless of full or part-time status.

Deadline: 28 February 2024

Penalty for non-compliance: Maximum fine of RM20,000, six months imprisonment, or both

Get Form EA here

3. Form PCB2

Purpose: A statement from employers confirming monthly tax deductions from an employee’s salary throughout the year. Form PCB2 is also intended for distribution to employees, who are required to submit it to LHDN along with Form EA.

Deadline: 29 February 2024

Penalty for non-compliance: Maximum fine of RM20,000, six months imprisonment, or both

Get Form PCB2 here 

4. Form C

Purpose: The main income tax return form for companies, used to declare income, claim deductions, and calculate tax payable to LHDN.

Deadline: 7 months from close of accounting period OR 8 months for e-Filing

Penalty for non-compliance: Maximum fine of RM2,000, six months imprisonment or both

Get Form C here

5. Form CP204

Purpose: Form CP 204 is a tax estimate that details the company’s expected tax for the current assessment year, including estimated income, tax adjustments, and relief information.

Deadline: Three months from date of incorporation (new companies) OR 30 days from beginning of basis period (existing companies)

Penalty for non-compliance: Maximum fine of RM2,000, six months imprisonment or both

Get Form CP204 here

6. Form CP58

Purpose: Similar to Form EA but for a businesses’ various agents, dealers, and distributors,  detailing monetary (such as allowances, commissions, and bonuses) and non-monetary (such as tickets, accommodation, tour packages, vehicles, and vouchers) incentives handed out to them.

Form CP58 is only mandatory for companies paying over RM5,000 per year in incentives, and just like with Form EA, there is no need to submit it to LHDN, only to the respective vendor.

Deadline: 31 March 2024

Penalty for non-compliance: Maximum fine of RM20,000, six months imprisonment, or both

Get Form CP58 in PDF format or Excel format

Corporate Tax Deadlines – Forms for Special Cases

In the event of a new employee, an employee resignation or termination, or an employee with a long leave of absence from the country, you’ll want to take note of the forms below and their respective deadlines: 

FormDeadline
CP2130 days before the expected date of employee’s departure
CP22Within 30 days from the start of employment
CP22Anot less than 30 days before employee’s termination

1. Form CP21

Purpose: Tax clearance application for any employee leaving or intending to leave Malaysia for more than 3 months.

It’s important to note that: 

  • The employer is exempted from filing Form CP21 if IRBM believes that the employee is required to leave the country frequently during their employment tenure. 
  • You can submit the form online via the e-SPC within the stipulated deadline. Alternatively, you can head to the IRB office and furnish the same manually.

Deadline: 30 days before the expected date of their employee’s departure.

Penalty for non-compliance: Maximum fine of RM20,000, six months imprisonment or both.

File Form CP21 online here (Mandatory 1 Jan 2024) or get the manual form for amendments purposes

2. Form CP22 

Purpose: Notification of new employee to LHDN

It’s important to note that: 

  • It contains details of the employer, details about the new employee, monthly remuneration details, and a signed declaration. 
  • The borang has to be submitted to the IRB branch responsible for handing the employer tax (e-number) file or to your nearest IRB branch.

Deadline: Within 30 days of employment start date

Penalty for non-compliance: Maximum fine of RM20,000, six months imprisonment or both. 

Get Form CP22 here

3. Form CP22A

Purpose: Tax clearance application when there is a cessation of an employee due to resignation, termination or death. 

It’s important to note that: 

  • The employer is exempt from filing Borang CP22A when the employee’s salary is below the minimum taxable limit. They are also exempt if the employee has been subjected to a monthly tax deduction (MTD) and is not retiring from any employment in Malaysia.
  • The employer is also required to withhold any money due to the ceasing employee with LHDN’s approval. 

Deadline: 30 days before the employee’s termination. You can also opt for a shorter written notice if LHDN is satisfied that you have sufficient reasons.

Penalty for non-compliance: Maximum fine of RM20,000, six months imprisonment or both. Additionally, the employer is responsible to clear the existing employee’s outstanding tax obligations.

File Form CP22A online here (Mandatory 1 Jan 2024) or get the manual form for amendments purposes

Meet Your 2024 Business Tax Deadlines with Bispoint’s Expert Help

Waiting until the last minute to manage your taxes is a recipe for missed savings, potential errors and the aforementioned penalties. 

Speak to any of our trusted tax agents early so that we have sufficient time to assist you in thorough tax preparations and plan long-term tax strategies tailored to your SME business needs. 


TAGS :income tax