Employer Return (Form or Borang E and CP8D) is required to be submitted by every employer (company/enterprise/partnership and etc) to LHDN (Inland Revenue Board, IRB) every year not later than 31 March. (Note: Grace period is given until 30 Apr 2024 for the e-Filing e-E2023 & 2023 e-CP8D)
The following information are required to fill up the Employer Return:
- Employer’s (company’s) particular and information of number of employees (Form E)
- Details for ALL employees’ remuneration and deductions claimed matters (CP8D*)
* 2023 C.P.8D has than 20 columns to be filled up per employee basis which requires extensive information and the coverage of all ranges of remuneration and deduction (i.e. salaries, wages, allowance, incentives & etc.)
Who Needs To File Form E?
All companies!
LHDN: Setiap syarikat mesti mengemukakan Borang E menurut peruntukan seksyen 83(1) Akta Cukai Pendapatan 1967 (Akta 53):
“Every employer shall , for each year, furnish to the Director General a return in the prescribed form…”
Click here to read: Email confirmation from LHDN
What If You Fail To Submit “Borang E and CP8D”?
Failure to do so will result in the IRB taking legal action against the company’s director(s)/employer.
Kindly note that “Fine of RM200 to RM20,000 (maximum)” will be imposed by IRB for failure to prepare and submit the “Form E and CP8D” to IRB as well as prepare and deliver Form EA to the employees.
Note: IRB will increase fine for each subsequent offence.
Let Us Help You To Ease Your Mind
You are welcome to contact us if you require our assistance to fill up and submit the Form E and CP8D on behalf of the company/employer or completing the Form EA.
Kindly call us at below:
Disclaimer: All information above & below are presented for reference purposes & you are advised to contact your company’s appointed tax agent for more details. Please take note that taxation services are not covered by secretarial fee you’ve paid or yet to be paid.
Something you must know:
Employer shall deduct Monthly Tax Deduction (MTD, or better known as PCB in Bahasa Melayu) from the employee remuneration (if applicable) and remit the deducted sum to LHDN on/before 15th day of the following month.
You may click: e-PCB Calculator to determine whether your director/employee is subject to MTD.
Every employer shall, for each year, prepare and render to his employee a statement of remuneration of that employee C.P.8A (EA) form on or before the last day of February in the year immediately following the first-mentioned year in order for each employee to fill and submit return form in accordance to subsection 83(1A), Income Tax Act 1967(Act).
Employer Compliance Requirements:
Employer shall also comply with e requirements and responsibilities under the Income Tax Act 1967 pertaining to its employees for below circumstances to avoid unnecessary compounds / penalties:
- Commencement of employment / Cessation of employment
- Employee leaving Malaysia for more than 3 months
- Retention of monies upon cessation of employment if the employee:-
– retiring from employment / passed away
– leaving Malaysia without intention of returning to Malaysia
– subject to the Monthly Tax Deduction (MTD) scheme but no deductions were made by the employer
Kindly click employer’s responsibilities:
https://www.hasil.gov.my/en/employers/responsibility-of-employer/
