How to Check Income Tax for Employers in Malaysia

As an employer, you have to make sure that your company follows the income tax rules set by Lembaga Hasil Dalam Negeri (LHDN).

If you don’t check your income tax properly, your business might face penalties or legal problems.

Some employers don’t realize they have unpaid taxes until it’s too late. This can cause financial issues and even affect the reputation of the company.

To avoid this, it’s important to regularly check your company’s income tax status.

But how do you do this? The good news is that checking income tax for your company is simple if you know where to look and what steps to take.

In this guide, we will explain how to check your company’s income tax, understand tax deductions, and avoid common mistakes.

By the end, you’ll know exactly what to do to stay compliant with Malaysian tax laws and avoid unnecessary trouble. Let’s get started!

Why Employers Must Check Income Tax

Employers in Malaysia must check their employees' income tax to follow the Income Tax Act 1967 and Monthly Tax Deduction (MTD/PCB) rules by LHDN.

According to Section 107 of the Act, employers must deduct and pay the correct tax from employees' salaries every month.

If they fail to do this, they may face fines, penalties, or legal action under Section 113 and 114, which cover tax evasion and non-compliance.

Checking income tax helps ensure correct salary payments, avoid tax problems, and protect the company from legal and financial risks.

Step-by-Step Guide to Checking Employer Income Tax Status with LHDN

To check your company’s income tax obligations and payment status, you can use the MyTax LHDN portal.

Here is a step-by-step guide to checking your employer income tax status:

Step 1: Visit the MyTax LHDN Portal

Go to the official MyTax website at https://mytax.hasil.gov.my.

This is the official online portal provided by LHDN for employers and taxpayers to manage their tax matters.

Step 2: Log In to Your Employer Account

To access your employer account, log in using your e-Filing ID and password if you have previously registered.

For first-time users, select “First Time Login” and follow the provided instructions to complete the registration process.

If you do not yet have an e-Filing ID, you must obtain it by visiting the nearest LHDN branch or applying online.

Step 3: Access the Employer Dashboard

Once you have successfully logged in, you will be directed to the employer dashboard.

The Dashboard displays information about taxes, messages, user details, MyTax status, menu choices, chat help, and services.

Here, you can view:

Employer income tax summary – This provides an overview of your tax obligations.
Outstanding tax payments – Check if there are any unpaid amounts that need to be settled.
PCB deductions list – Verify the PCB (Potongan Cukai Bulanan) deductions that have been submitted.
Tax ledger details – Review a summary of past and current tax filings for up to 10 years.

Step 4: Check Monthly Tax Deduction (PCB) Payments

Employers must ensure that PCB deductions from employee salaries are accurately calculated and submitted.

To verify:

Click on “Employer’s PCB Deductions List” in the MyTax portal.
Cross-check the figures against your payroll records.
Ensure that payments have been made before the 15th of every month.

Step 5: Confirm Payment and Compliance

Use ByrHasil, the official LHDN payment platform, to check or make tax payments.

Always keep records of tax payments and receipts for reference.

Make sure to submit corporate income tax filings on time to avoid any issues.

What to Do If Your Company Has Outstanding Tax Payments

If your company has unpaid tax obligations, it is important to take immediate action.

Here are the steps you can take:

1. Make Sure Employers Know Tax Deadline

One of the key reasons employers end up with unpaid taxes is a lack of awareness of tax deadlines.

In Malaysia, the deadlines for filing income tax are as follows:

Employees with a fixed salary (without business income) must file their income tax by 30th April each year.
Individuals with business income must file their income tax by 30th June each year.

Failure to file income tax or company tax may result in serious consequences, including blacklisting by the authorities, which can prevent individuals from leaving the country.

2. Refer to Official Tax Information on HASiL’s Website

To ensure you have the correct information, it is advisable to visit the official website of the Inland Revenue Board of Malaysia (LHDN/HASiL).

The website provides complete details on:

How to file income tax correctly
Important deadlines and procedures
Tax rates and deductions applicable to different income groups

In addition to the website, LHDN also shares updates on social media platforms like Facebook, Twitter, and Instagram, as well as official tax-related portals.

Staying updated can help you avoid unnecessary mistakes in managing your taxes.

3. Contact LHDN for Tax Assistance

If you need further clarification about your income tax status, you can directly contact LHDN’s Customer Service through multiple channels:

LHDN Hotline: 03-8911 1000 (for local inquiries) or 603-8911 1100 (for international calls)
Live Chat on HASiL’s Website
Social Media Platforms (Facebook, Twitter, Instagram)
Customer Feedback Form on the LHDN portal

By reaching out to LHDN, you can get accurate and up-to-date information about your outstanding tax balance and the necessary steps to resolve it.

4. Check Your Outstanding Taxes via MyTax LHDN

The MyTax LHDN portal is a convenient online tool that allows taxpayers to check their tax status and manage their income tax records.

If you already have an e-Filing ID and password, you can log in to MyTax to access:

Your current tax balance (outstanding tax amount or credit excess)
Previous tax payments and refunds
PCB (Monthly Tax Deduction) records from your employer
Income tax summary for the last 10 years
Installment payment records (CP500)

Additionally, the MyTax platform also provides access to various online services, such as e-Filing, ByrHasil (online tax payment), and e-Kemaskini (updating personal tax details).

5. Set Up an Installment Plan for Tax Payments

If you have outstanding taxes but are unable to settle them in full, LHDN allows taxpayers to apply for an installment payment plan.

This helps ease your financial burden while ensuring your tax dues are cleared without facing legal action.

To apply for a tax installment plan, you will need to submit the following documents:

Monthly cash flow statement
Latest bank statements
List of monthly financial commitments
Proposed installment amount

LHDN will review your request and provide an installment plan based on your financial capability.

It is always advisable to settle tax arrears as soon as possible to avoid further penalties or interest charges.

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