WITHOLDING TAX: LATEST PRINCIPLES AND UPDATES IN MALAYSIA

Introduction

Withholding tax in Malaysia is a critical compliance area, especially for businesses making payments to non-residents. Misunderstanding the latest withholding tax principles can result in penalties, disallowed expenses, and unexpected tax liabilities.

Our Withholding Tax: Latest Principles and Updates in Malaysia Training provides a practical and up-to-date understanding of withholding tax obligations under the Income Tax Act 1967, including current LHDN enforcement focus and compliance expectations.

This program equips finance teams, tax professionals, and business owners with the knowledge to manage cross-border payments confidently and avoid costly compliance mistakes.

Key Features & Benefits

• Latest Withholding Tax Updates – Understand recent changes, enforcement trends, and updated LHDN guidelines.
• Scope of Withholding Tax – Identify payments subject to withholding tax including services, royalties, interest, technical fees, and special classes of income.
• Double Taxation Agreements (DTA) – Learn how to apply DTA relief and reduced tax rates correctly.
• Compliance & Filing Procedures – Step-by-step guidance on payment deadlines, CP37 forms, and remittance requirements.
• Penalty & Risk Management – Avoid non-deductibility of expenses and late payment penalties.
• Practical Case Studies – Real Malaysian cross-border transaction scenarios for better application.

Target Audience / Industries Served

• Finance managers and accountants handling foreign payments.
• Tax and compliance officers.
• SMEs engaging overseas consultants, service providers, or suppliers.
• Multinational companies operating in Malaysia.
• Companies in technology, manufacturing, engineering, oil & gas, and professional services sectors.

Service Specifications / Deliverables

• Duration: 1-day intensive workshop or customizable corporate session.
• Mode: On-site training or live online session across Malaysia.
• Scope: Withholding tax principles, DTA application, filing procedures, compliance controls.
• Tools Provided: Withholding tax checklist, DTA reference guide, compliance timeline template.
• Certification: Certificate of Completion issued.

Why Choose This Service / USP

• Up-to-Date Malaysian Tax Content: Reflects latest LHDN enforcement focus and legislative updates.
• Practical Cross-Border Focus: Designed for businesses making payments to non-residents.
• Compliance-Driven Framework: Reduce exposure to penalties and tax disallowances.
• Real Case-Based Learning: Application of principles to actual Malaysian business scenarios.
• Delivered by Experienced Tax Practitioners: Facilitators with hands-on advisory and audit experience.

FAQs

• Q1: What payments are subject to withholding tax in Malaysia?
  A: Payments to non-residents for services, royalties, interest, and certain technical fees may be subject to withholding tax.
• Q2: What happens if withholding tax is not paid on time?
  A: Late payment may result in penalties and the related expense being disallowed for tax deduction purposes.
• Q3: Can Double Taxation Agreements reduce withholding tax rates?
  A: Yes, applicable DTA provisions may reduce the withholding tax rate if properly documented.
• Q4: Is this training suitable for SMEs?
  A: Yes, especially for SMEs engaging foreign consultants or service providers.
• Q5: Will the training cover filing procedures?
  A: Yes, including deadlines, documentation, and remittance processes.

Call to Action (CTA)

Ensure your cross-border payments remain compliant and penalty-free.

Enroll in our Withholding Tax: Latest Principles and Updates in Malaysia Training and strengthen your tax compliance framework today.

📩 Contact us now to secure your training session and stay ahead of LHDN requirements.