Bonus tax tip for Canadians: Is your company doing some type of SR&ED (Scientific Research & Experimental Development)? If so, you may be eligible for a cash refund or tax credits; the government of Canada offers tax incentives to companies involved in this type of work.

Next year onwards, Inland Revenue Board, IRB (LHDN) will introduce a new scheduler tax deduction (STD) system

In the new system, tax exemptions and rebates will be filed on a monthly basis instead of yearly basis. This is beneficial to employees who normally over pay their income taxes, then later need to file for a refund next year.

Pensions
Creative Commons License photo credit: jepoirrier

As mentioned by Zul, (Source: SkorCareer)

Expenditures that can be put forth for income tax exemptions include purchase of books, magazines, computer and peripherals, equipment for disabled, and payments such as education, alimony, medical check up and so on. On the other hand, rebates can be in the form of tith (zakat) and worker permit pass.

Details of the exact mechanism will be published on LHDN’s website once the new ruling comes into practice. Rounds of talk will also be organized by the LHDN officers to groups of employers nationwide, which will be held in stages.


KCLau
KCLau

Personal finance author and trainer

    2 replies to "Introduction of a new scheduler tax deduction (STD)"

    • […] presents Introduction of a new scheduler tax deduction (STD) posted at KCLau’s Money Tips, saying, “About LHDN introducing a new scheduler tax […]

    • marxy

      Hi KC, I’ve learned that this proposed scheme is of optional nature, and the fact is tax payer could opt for deduction either on monthly, quarterly, half-yearly and yearly basis. So what are your advices as of which scheme to choose with different group of people, and most importantly, what are the advantages to choose the respective schemes?

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