Employers in Malaysia have to take note of the notifications that have to be submitted to IRB Malaysia (LHDN) when new joiners are employed by the company or when an employee leaves the company. Failure to do so may lead to the employer being charged or fined by LHDN.
Below are the types of notifications and the related forms:
1. Notification of new employee
Form to use: CP22
Timeline: Form CP22 must be submitted to IRB within 30 days from the date of commencement of employment.
2. Tax clearance form for cessation/retirement of employment
Form to use: CP22A (for private sector employers)
Timeline: Form CP22A must be submitted to LHDN not less than 30 days before the expected cessation/retirement date of employment.
3. Notification of death of employee
Form to use: CP22A
Timeline: An employer should notify the death of an employee within 30 days after being informed of death.
4. Notification of employee’s departure from Malaysia
Form to use: CP21
Timeline: Form CP21 must be submitted to LHDN not less than 30 days before the expected date of departure from Malaysia.
All completed forms should be submitted to LHDN branches which directly handle the employee’s tax file or visit LHDN’s nearest branches.
Download the relevant forms from LHDN website here.
Contact us for more information on our services if you require assistance to submit these notifications.