1. What is Monthly Tax Calculation?

The monthly tax calculation estimates your tax obligations for salary income in Malaysia for 2024. It helps individuals and employers plan their finances by providing an estimate of monthly tax deductions.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• \( \text{Taxable Income} \) — Annual taxable income in MYR
• \( \text{2024 Malaysian Tax Rate} \) — Applicable tax rate percentage
• \( \text{Adjustments} \) — Any additional tax adjustments or deductions

Explanation: The equation calculates annual tax based on income and tax rate, then divides by 12 for monthly amount, plus any adjustments.

3. Importance of Monthly Tax Calculation

Details: Accurate monthly tax estimation helps with financial planning, ensures proper tax deductions, and avoids underpayment penalties or unexpected tax bills.

4. Using the Calculator

Tips: Enter your annual taxable income in MYR, the applicable 2024 Malaysian tax rate percentage, and any adjustments. All values must be valid (income ≥ 0, rate between 0-100).

5. Frequently Asked Questions (FAQ)

Q1: What is considered taxable income in Malaysia?
A: Taxable income includes employment income, benefits-in-kind, bonuses, allowances, and other remuneration after eligible deductions.

Q2: How do I know my tax rate?
A: Malaysia uses progressive tax rates from 0% to 30% based on chargeable income brackets. Refer to LHDN's latest tax rate schedule.

Q3: What are common adjustments?
A: Adjustments may include PCB (Potongan Cukai Bulanan) differences, tax reliefs, rebates, or other deductions not accounted for in the basic calculation.

Q4: Is this calculation exact?
A: This provides an estimate. Actual tax may vary based on specific circumstances, reliefs, and deductions. Consult a tax professional for precise calculations.

Q5: When are monthly taxes due?
A: Monthly tax deductions (MTD/PCB) are typically due by the 15th of the following month for employees under the MTD scheme.