Jan to Jul - 182days - 14days - Kuala Lumpur forum

Jan to Jul - 182days - 14days

sunny2015 Member

18POSTS

7 years ago

Hello,
Regarding 182 days to become tax resident, is it continuous 14 days聽 out of Malaysia or can I be out for Malaysia as long I do not stay out more than continuous 14 days.

Example:

Jan - Out of Malaysia - 8 days

May - Out of Malaysia - 2 days

June - Out of Malaysia - 8 days

Total 18 days

So will I be eligible for tax resident status staying more 4 days (14 days + 4days = 18 days)

Thanks in advance.

Regards,
Wasim

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Gravitas ViP

9040POSTS

7 years ago

Please note
The 14 day rule is only important if you started working in Malaysia in 2018 and want to link tax year 2018 and 2019 so for both years you can pay lower resident tax rates.

If you are trying to keep the 14 days rule it means the聽 total of days.

The example you give breaks the 14 day rule as the total is 18 days*.

If you didn't work in Malaysia in 2018 then you need to be in Malaysia for a total of 182 days during 2019聽 tax year January to December.

Please note
e.g 182 days ends on 2nd July +18 days = 20th July new qualifying date to become tax resident

* only holidays (personal travel) is counted

sunny2015 Member

18POSTS

7 years ago

Thanks for your quick reply. Below is my case:

1. Started working from 01-Aug-2018
2. Nov 18: Out of Malaysia for 10 days
3. Jan 19 : Out of Malaysia for 7 days
4. Planned 3 days out of Malaysia - May 19
5. Planned 10 days out of Malaysia - June 19.

Please let me know when i can claim Resident status in Malaysia this year.

Note- I am pay tax @28% from Aug 18.

Regards,
Wasim

Gravitas ViP

9040POSTS

7 years ago

1.you can't link 2018 to 2019 as too many days. No refund for overpaid tax for 2018

2.you will be tax resident on 22nd July so resident rates start in August 2019 and refund of overpaid tax will be made in about May 2020 but just for tax year 2019

sunny2015 Member

18POSTS

7 years ago

One more question, If I avoid days out in May and Jun 19, will i be eligible for 2018 tax return ?

Gravitas ViP

9040POSTS

7 years ago

Probably because only 7 days used in January. But what were the dates in January and any travel in December

sunny2015 Member

18POSTS

7 years ago

Currently, travelled 9 days during Nov 18 and Jan 19 -聽 7 days. Total 16 days. So will i be eligible for tax resident year 2018?

Gravitas ViP

9040POSTS

7 years ago

If you take only 7 days in January you can link and get tax resident for 2018

You can take maximum 7 more days before July if you want.

Count only full 24 hrs outside Malaysia. If you were in Malaysia any part of a day it means that day is counted as being in Malaysia

1 member reacted to this post

sunny2015 Member

18POSTS

7 years ago

Thanks for your quick response.
So 9 days which i availed during Nov 18, will not cause any issue availing 2018 tax resident.
So if i avail more 7 days total will be:
Because total : 9 days Nov-18
7 days Jan-19
7days if i avail before Jul-19

Total : 23 days (9 days in year 2018 and 14days in 2019)

So will i be taxed as resident in year 2018?

Gravitas ViP

9040POSTS

7 years ago

#10

2018 - the 9 days in November do not have any affect because

1. You could not be in Malaysia for 182 days that tax year as you started work in August

2. Each tax year (Jan-Dec) is separate, goal is 182 days in total to be tax resident

2019 - max 14 days outside Malaysia are allowed Jan to July to link two tax years (2018 & 2019).

You have 7 days only so far in January

1 member reacted to this post

sunny2015 Member

18POSTS

7 years ago

#11

Thanks a lot聽

sunny2015 Member

18POSTS

7 years ago

#12

16-Jan-2019 - Flight from Malaysia 20:00
22-Jan-2019 - Back to Malaysia 09:00

Out of days will be calculated as 5 days? , correct me if I am wrong

Gravitas ViP

9040POSTS

7 years ago

#13

Yes 5 complete days outside Malaysia

2 members reacted to this post

Gravitas ViP

9040POSTS

7 years ago

#14

Gravitas wrote:
Count only full 24 hrs outside Malaysia. If you were in Malaysia any part of a day it means that day is counted as being in Malaysia

sunny2015 Member

18POSTS

6 years ago

#15

Hello,
Below was schedule of out of malaysia for this year 2019, can you please let me know by when I will become resident. Will it be 01-Jul-2019 (182 days) or 14-Jul-2019 (182 days + 13 days). Please let me know so that i can approach LHDN for resident certificate.

2019聽聽 Status聽聽
16-Jan-19聽聽 OUT聽聽
17-Jan-19聽聽 Not In Malaysia聽聽
18-Jan-19聽聽 Not In Malaysia聽聽
19-Jan-19聽聽 Not In Malaysia聽聽
20-Jan-19聽聽 Not In Malaysia聽聽
21-Jan-19聽聽 Not In Malaysia聽聽 Total: 5
22-Jan-19聽聽 IN聽聽
聽聽聽聽
30-May-19聽聽 OUT聽聽
31-May-19聽聽 Not In Malaysia聽聽
1-Jun-19聽聽 Not In Malaysia聽聽
2-Jun-19聽聽 Not In Malaysia聽聽
3-Jun-19聽聽 Not In Malaysia聽聽
4-Jun-19聽聽 Not In Malaysia聽聽
5-Jun-19聽聽 Not In Malaysia聽聽
6-Jun-19聽聽 Not In Malaysia聽聽
7-Jun-19聽聽 Not In Malaysia聽聽 Total:8
8-Jun-19聽聽 IN聽聽
聽聽聽聽
聽聽 Total聽聽 13