Steps to Submit CP22 for New Employees in Malaysia on LHDN MyTax Portal

In Malaysia, employers must submit Form CP22 to notify the Inland Revenue Board of Malaysia (LHDN) about newly hired employees who are liable for income tax.

This form must be submitted within 30 days from the employee’s start date to ensure compliance with Malaysian tax laws.

To simplify the process, employers can submit CP22 online via the MyTax Portal, which is managed by LHDN.

However, only the company director (with an Employer role in MyTax) or an appointed Employer Representative can complete this submission.

Here’s a detailed step-by-step guide to help Malaysian employers submit CP22 online:

Step 1: Log In to MyTax

To begin, employers must log in to the MyTax Portal at mytax.hasil.gov.my.

On the login page, they need to select the Identification Type and enter the Identification Number.

Next, they must use the company’s digital certificate to access the system.

Once logged in, they should navigate to the Role Selection section and choose either Employer or Employer Representative to proceed further.

Step 2: Navigate to e-CP22

After logging in, employers should go to the ezHasil Services section and select e-CP22 from the available options.

This feature allows them to submit a CP22 form online. However, it is important to note that only one submission per day is allowed for each new employee.

Step 3: Enter Employer Information

On the e-CP22 page, the system will display essential employer details such as:

the company’s name,
business registration number, and
employer tax file number.

Employers should carefully review this information and update their address, phone number, and email address if necessary.

Step 4: Choose Submission Method

Employers can submit CP22 using one of two methods:

Option 1: Data Transmission by Data Input (Manual Entry)

Enter the following employee details:
- Full Name
- Identification Type (IC or Passport)
- IC/Passport Number
- Citizenship
- Date of Birth (DD/MM/YYYY)
- Passport Expiry Date (if applicable for foreign employees)
- Monthly Salary
- Previous Employer Details (if applicable)

Click Add Employee after entering all required information.

If the employee was previously employed in Malaysia, provide the relevant details here. Click the ‘Continue’ button once all employee details have been filled in.

Option 2: Bundle Data Transmission (Bulk Upload)

Prepare a text file with employee details following LHDN's format:The file should be named using the format EmployerNo.txt (e.g., 9140005610.txt).
- It must include all required employee data.
- File size should not exceed 6MB.
Click Upload next to the Submission of Employee Data field
Select the prepared text file and upload it.

Step 5: Review and Submit

Before finalizing the submission, employers should thoroughly review all entered details to ensure accuracy.

Any incorrect information may lead to processing delays or penalties. Once verified, they can click Submit to complete the process.

After submission, the system will generate an Acknowledgment Slip, which serves as proof of submission.

Employers should print and keep this slip for their company records.

Step 6: Verify Submission Status

Employers can verify the status of their CP22 submission by logging into MyTax and navigating to e-Filing > e-Acknowledge Receipt.

This section allows them to check if the submission has been successfully processed by LHDN.

If there are any issues, employers should take immediate action to rectify them.

Source: centralhr.my

Important Notes for Employers

Employers must submit CP22 within 30 days from the employee’s first day of work.

The e-CP22 application is available online through the MyTax portal for employers to submit the CP22 Form. Employers can refer to the User Manual for e-CP22 via MyTax > User Guide.

Employers can also access the Role Application User Manual and MyTax FAQ under MyTax > User Guide to facilitate the use of the e-SPC application.

Starting 1 September 2024, employers are required to submit notification forms for new employees through e-CP22. Manual submission of Form CP22 will no longer be allowed.

Failure to comply with Subsection 83(2) of the Income Tax Act 1967 without reasonable excuse may result in a fine of not less than RM200 and not more than RM20,000, or imprisonment for up to 6 months, or both.

Employers shall be liable to pay the full amount of tax due from their employees.

The amount due from the employer shall be a debt to the government and may be recovered through civil proceedings.

Are you hiring in 2025?

Start your hiring journey with Ajobthing today! Post your job ads, connect with top talents, and streamline your recruitment process with our easy-to-use platform.