A director is a person who is occupying the position of director, including any person who is concerned in the management of the Company's business. He or she, on his or her own, the owner of, in control of not less than 20% of the ordinary share capital of the Company or with one or more associates, able to directly or through the medium of other companies or by any other indirect means to control, not less than 20% of the ordinary share capital of the Company.
A director who holds 20% or more of ordinary share capital in a company will be held liable for:
The director is jointly and severely liable on in respect of the company’s tax and any other debts of the company.
Under Section 75A of the Income Tax Act (ITA) 1967, the action that can be taken against directors of a company to recover a company’s taxes or debts are as follows:
Form E is a declaration report to inform the Inland Revenue Board on the employee’s income details. It is required to be submitted by every employer (Company/Enterprise/Partnership) every year not later than 31st March. Companies which are dormant and/or have not commenced business are required to furnish the Form E with effect from Year Assessment 2014.
Due Date for submission of Form ECo
E-filling grace period
Those who submitting Form E through e-filing will get one month grace period which means the deadline is on the 30th April 2019, unlike the traditional income tax filing the deadline will be on the 31st March 2019.
A Form E deemed not received is a failure to comply and is an offence under Paragraph 120(1) (b), of the income Tax Act (ITA) 1967.
If you need further clarification or information, please contact us.
Realy Property Gain Tax ("RPGT") is a tax imposed on gains arising from disposal/ sale of real property or shares in Real Property Companies ("RPC"). RPGT rates for disposal from 1 January 2019 are as follows:
Both the disposer and the acquirer are required to complete and file RPGT returns within 60 days from the date of disposal to Malaysian Inland Revenue Board ("MIRB").
If you need further clarification, please contact us.
What is Stoppage order?
Stoppage Order is a travel ban order imposed by Director General of Inland Revenue Board which prevents tax defaulters from leaving the country. It is imposed on taxpayers who fail to settle their income tax/ real property gain tax/ corporate tax. The enforcement rule for stoppage order is carried out under Section 104 of the Income Tax Act 1967/ Section 22 Real Property Gain Tax Act 1976.
What to do if you are stopped from leaving Malaysia?
installment for the remaining balance;
- taxpayers or representative need to go to Malaysian Inland Revenue Board ("MIRB")
branch that handles the taxpayer's file at least 7 days before travelling abroad; and
- submit an application letter which includes destination, purpose and duration
of overseas travel.
Where to check if you are stopped from leaving the country?
For Malaysians, please visit http://sspi.imi.gov.my/sspi/
For foreigners, you will need to contact the MIRB branch office to check the status of stoppage order.
If you need further clarification or information, please contact us by dropping us an email.
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