Malaysia Personal Income Tax
Tax rates for Year of Assessment 2025 — LHDN
Income Details
Use this if you did not work for the full year.
Enter the total monthly tax deductions paid throughout the year.
Tax Reliefs (RM)
Taxable Income
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Tax Payable
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YA 2025 Tax Rate Schedule
| Taxable Income (RM) | Rate (%) | Tax in Bracket (RM) |
|---|
LHDN Tax Formula & Explanation
Income tax in Malaysia follows a progressive system, where tax rates increase with your taxable income. The basic formula is:
Your taxable income is matched against the tax brackets set by LHDN. Tax reliefs such as EPF contributions, insurance, and lifestyle expenses help reduce the amount of tax you need to pay.
Calculation Example
Suppose your annual income is RM72,000:
- Personal Relief: RM9,000 (standard)
- EPF Contributions (max): RM4,000
- Total Reliefs: RM13,000
- Taxable Income: RM72,000 – RM13,000 = RM59,000
- Based on the YA 2025 schedule, the net tax is approximately RM2,970 per year.
Frequently Asked Questions
When is the Form BE submission deadline?
For individuals who do not carry on a business (Form BE), the deadline is usually 30 April each year (or 15 May for e-Filing).
What are Monthly Tax Deductions (PCB)?
PCB is a monthly tax deduction from your salary by your employer. It allows you to pay tax in instalments rather than a large amount at the end of the year.
How does PCB affect my tax calculation?
PCB (Monthly Tax Deductions) is an advance payment of your tax. If total PCB exceeds your actual tax, you receive a Tax Refund. If PCB is lower, you need to pay the Tax Balance to LHDN.
Who is eligible for the RM400 tax rebate?
Individuals with taxable income not exceeding RM35,000 qualify for a RM400 tax rebate to reduce their tax payable.