SempoaDuitHow your tax is worked out
| Chargeable income band | Rate | Taxed amount | Tax |
|---|
Reliefs applied
| Relief | You entered | Limit | Allowed |
|---|
Malaysia income tax rates for YA 2025
Malaysia uses progressive tax rates, so each slice of your chargeable income is taxed at its own rate. Moving into a higher band only affects the ringgit inside that band, not your whole income.
| Chargeable income (RM) | Rate | Cumulative tax at top of band |
|---|---|---|
| 0 – 5,000 | 0% | RM 0 |
| 5,001 – 20,000 | 1% | RM 150 |
| 20,001 – 35,000 | 3% | RM 600 |
| 35,001 – 50,000 | 6% | RM 1,500 |
| 50,001 – 70,000 | 11% | RM 3,700 |
| 70,001 – 100,000 | 19% | RM 9,400 |
| 100,001 – 400,000 | 25% | RM 84,400 |
| 400,001 – 600,000 | 26% | RM 136,400 |
| 600,001 – 2,000,000 | 28% | RM 528,400 |
| Above 2,000,000 | 30% | – |
Step by step
- Total income: add up salary, bonus, commissions and taxable allowances for the year.
- Subtract reliefs: everyone gets RM9,000 automatically. Add EPF (up to RM4,000), insurance, lifestyle, medical and the other reliefs you qualify for.
- Apply the rates: the result is your chargeable income, taxed band by band using the table above.
- Subtract rebates: RM400 if chargeable income is RM35,000 or less, plus any zakat you paid.
- Compare with PCB: if your employer deducted more PCB than your final tax, you get a refund.
Tips to legally pay less tax
- Keep receipts for phones, laptops, books and internet bills. They count toward the RM2,500 lifestyle relief.
- Gym memberships and sports equipment have their own RM1,000 relief.
- SSPN savings (up to RM8,000) and PRS contributions (up to RM3,000) reduce tax while you save.
- Health screenings, dental treatment and vaccinations fall under the medical relief.
- Keep supporting documents for seven years in case LHDN asks for them.
Want to see your monthly salary after deductions? Try the take-home pay calculator.
Frequently asked questions
Who needs to pay income tax in Malaysia?
Resident individuals pay tax on chargeable income, which is total income minus tax reliefs. The first RM5,000 of chargeable income is taxed at 0%, and if your chargeable income is RM35,000 or less you also get a RM400 rebate, so many lower earners end up paying nothing.
What is the difference between tax relief and tax rebate?
A tax relief reduces your chargeable income before tax is calculated. A rebate (such as the RM400 individual rebate or zakat paid) reduces the tax itself, ringgit for ringgit.
Does PCB count as my final tax?
PCB (monthly tax deduction) is an advance payment. When you file your return, your actual tax is calculated. If PCB paid is more than your actual tax, LHDN refunds the difference; if less, you pay the balance.
When is the filing deadline?
For employment income, Form BE is normally due by 30 April of the following year (15 May if you file online through e-Filing). Check LHDN's announcements for the current year's dates.
Is this calculator accurate?
It applies the YA 2025 resident tax rates and the main relief caps. It does not cover every special relief or condition, so treat the result as an estimate and confirm on MyTax before filing.
Sources
Figures last checked September 2026.