(Latest update) Withholding tax on commission to agents from IRB Response to Chartered Tax Institute of Malaysia Comments on 15/4/2022. Let's wait for IRB official revised FAQ in coming days. If our clients have any question on the latest update on this WHT to agents, kindly contact PIC for further clarification. Read the full story in our blog https://lnkd.in/eRR6fS9q Read our past post on withholding tax on commission to agents : 1. Withholding Tax on Payments to Agents dated on 17.03.2022 https://bit.ly/3L3JzOB 2. 2% withholding tax on commission dated on 30.12.2021 https://bit.ly/3hRrk20 3. 预算案 2022 dated 19.11.2021 https://bit.ly/3tKU7dM 4. Budget 2022 - SME edition dated on 18.11.2021 https://bit.ly/3IWhAiR 𝐕𝐢𝐬𝐢𝐭 𝐮𝐬 Wisma 𝐊𝐓𝐏, 53 Jalan Molek 1/8, Taman Molek, 81100 Johor Bahru Wisma 𝐓𝐇𝐊, 41, Jalan Molek 1/8, Taman Molek, 81100 Johor Bahru 𝐊𝐓𝐏 (𝐀𝐮𝐝𝐢𝐭,𝐓𝐚𝐱, 𝐀𝐝𝐯𝐢𝐬𝐨𝐫𝐲) An approved audit firm and licensed tax firm operating under the KTP group based in Johor Bahru providing audit, tax planning, advisory and compliance services to clients Website www.ktp.com.my Instagram https://bit.ly/3jZuZuI Linkedin https://bit.ly/3sapf4l Telegram http://bit.ly/3ptmlpn 𝐓𝐇𝐊 (𝐒𝐞𝐜𝐫𝐞𝐭𝐚𝐫𝐢𝐚𝐥, 𝐁𝐨𝐨𝐤-𝐊𝐞𝐞𝐩𝐢𝐧𝐠/𝐏𝐚𝐲𝐫𝐨𝐥𝐥, 𝐀𝐝𝐯𝐢𝐬𝐨𝐫𝐲) A licensed secretarial firm in Johor Bahru providing fast reliable incorporation, secretarial services, corporate compliance services, outsource book keeping and payroll services to clients Website www.thks.com.my Facebook https://bit.ly/3nQ98rs

1. KTP & Company PLT (AF1308)(LLP0002159-LCA)
(Latest update)
Withholding tax on
commission to agents
AskKtpTax
AskThkAcc
21/04/22
IRB Response to Chartered Tax Institute
of Malaysia Comments on 15/4/2022

2. KTP & Company PLT (AF1308)(LLP0002159-LCA)
(Latest update) Withholding tax on
commission to agents from IRB
Response to Chartered Tax Institute of
Malaysia Comments on 15/4/2022
AskKtpTax
AskThkAcc
21/04/22
1. LLPs are excluded from the
definition of a payer company !

3. KTP & Company PLT (AF1308)(LLP0002159-LCA)
(Latest update) Withholding tax on
commission to agents from IRB
Response to Chartered Tax Institute of
Malaysia Comments on 15/4/2022
AskKtpTax
AskThkAcc
21/04/22
2. The definition of “Cash” includes
transactions via payment vouchers,
prepaid credit and e-wallets !

4. KTP & Company PLT (AF1308)(LLP0002159-LCA)
(Latest update) Withholding tax on
commission to agents from IRB
Response to Chartered Tax Institute of
Malaysia Comments on 15/4/2022
AskKtpTax
AskThkAcc
21/04/22
3. The WHT is applicable on the
amount before the any contra
transactions are made !

5. KTP & Company PLT (AF1308)(LLP0002159-LCA)
(Latest update) Withholding tax on
commission to agents from IRB
Response to Chartered Tax Institute of
Malaysia Comments on 15/4/2022
AskKtpTax
AskThkAcc
21/04/22
4. Section 107D is applicable on agents
who receive the commissions based on the
achievement of sales or services rendered
for the payer company !

6. KTP & Company PLT (AF1308)(LLP0002159-LCA)
(Latest update) Withholding tax on
commission to agents from IRB
Response to Chartered Tax Institute of
Malaysia Comments on 15/4/2022
AskKtpTax
AskThkAcc
21/04/22
5. The WHT is not applicable to the payer
company’s staff who are agents if the
commission is subjected and the
commission is reported in the Form EA.

7. KTP & Company PLT (AF1308)(LLP0002159-LCA)
(Latest update) Withholding tax on
commission to agents from IRB
Response to Chartered Tax Institute of
Malaysia Comments on 15/4/2022
AskKtpTax
AskThkAcc
21/04/22
6. Out-of-pocket expenses incurred by the
agents have to be specifically identified in
advance. If the expenses arise from sales,
transactions or schemes carried out, then the
WHT is applicable on the out-of-pocket
expenses.

8. KTP & Company PLT (AF1308)(LLP0002159-LCA)
(Latest update) Withholding tax on
commission to agents from IRB
Response to Chartered Tax Institute of
Malaysia Comments on 15/4/2022
AskKtpTax
AskThkAcc
21/04/22
The correspondence between IRB and CTIM is
for CTIM members only. Not for circulation.
P&C.

9. KTP & Company PLT (AF1308)(LLP0002159-LCA)
(Latest update) Withholding tax on
commission to agents from IRB
Response to Chartered Tax Institute of
Malaysia Comments on 15/4/2022
AskKtpTax
AskThkAcc
21/04/22
Let’s wait for IRB official revised FAQ in coming
days

10. KTP & Company PLT (AF1308)(LLP0002159-LCA)
(Latest update) Withholding tax on
commission to agents from IRB
Response to Chartered Tax Institute of
Malaysia Comments on 15/4/2022
AskKtpTax
AskThkAcc
21/04/22
If our clients have any question on the latest
update on this WHT to agents, kindly contact
PIC for further clarification.