Please go to this page for latest info on 2016 PCB calculations :
Following is a summary of changes to 2015 pcb calculations compare to 2014. The parameters for PCB calculations for 2015 has been changed in several areas.
1. Minimum pay that attracts PCB
Based on the “TABLE OF MONTHLY TAX DEDUCTIONS 2015” the minimum monthly pay subject to PCB is RM2851 compared to RM 2571 for 2014.
2. Maximum tax rate for all categories.
The highest tax rate for PCB calculations has now been reduced to 25%, down from 26%
3. Increase in tax relief for some items.
Tax relief for the following have been increased.
- Disabled child as certified by the Department of Social Welfare. (6000)
- Disabled child receiving further instruction at diploma level onwards in an institution of higher education in Malaysia or at degree level onwards in an institution of higher education outside Malaysia. (1,200)
- Basic Supporting Equipment (6000)
- Medical Expenses on Serious Diseases (6000)
Please note the following major change to PCB calculations in 2015 :
(2) In determining the amount of Monthly Tax Deduction based on Computerised Calculation, the employer shall allow the employee to claim allowable deductions and rebates under the Act not less than twice in the current year.
4. Changes to PCB calculations
The new table is as shown below. Note that the 2014 table had had values starting from “2,500 – 5,000“. The starting values for 2015 are now “5001-20,000“. The PCB calculations therefore are quite different from 2014.
|Table 1 : Value of P, M, R and B P |
Category 1 & 3
|5,001 – 20,000||5,000||1||– 400||– 800|
|20,001 – 35,000||20,000||5||–250||–650|
|35,001 – 50,000||35,000||10||900||900|
|50,001 – 70,000||50,000||16||2,400||2,400|
|70,001 – 100,000||70,000||21||5,600||5,600|
|100,001 – 250,000||100,000||24||11,900||11,900|
|250,001 – 400,000||250,000||24.5||47,900||47,900|
5. MTD Schedule for 2015
The 2014 table of monthly tax deductions were based on steps of RM50. This has now been reduced to steps of RM5. Therefore the number of pages for the table has now increased from 92 pages to 282 pages.