Actpay makes it easy to print your annual EA Form and E Form. The process is completely automated, just requiring a few clicks to get it done.
Income Information
The EA Form requires you to separate your Allowances and Benefit Kind into various categories. Some of the important categories are :
- Gross Salary and wages
- Fees, Commissions and Bonuses
- Tips, Perquisites and Awards
- Tax Exempt Allowances
- Benefit in Kind
Some of these are difficult to calculate manually especially “Tax Exempt Allowances”.
Deduction Information
Income tax related deductions also need to be added in the EA form. The 3 main deductions are :
- Monthly Tax Deduction (MTD) submitted to LHDN
- CP38 tax deduction
- Zakat
Generating EA Form
These 2 forms alone are worth buying a payroll software.
But, with Actpay this is very easy to do. Just a few clicks away.
Procedure to print EA form :
- Click “Update EA Form” in the Process Payroll screen, followed by “Print EA Form” in the Report Screen. (Make sure you do Update YTD before this)
As simple as that. All YTD data and Employee details will be automatically updated. If necessary, this information can also be edited manually.
Editing the EA Form
Often there is a need to edit the data to add income not not included in the payslip. Also in some cases errors are made in the manual entry in past months. Actpay allows you to edit the EA form. This edited data will also be used to generate the E form.
This consists for 3 screens.
- Employee Information
- Income Details
- Deduction Details
Generating the E Form
The E form is much more difficult to generate than the EA form and is required to be submitted to LHDN. Since 2016, employers are directed to include all employees in the C.P 8D Form. This means keeping track of employees not paying PCB as well as maintaining records of resigned employees
This is one of the most difficult reports to produce because the new E form requires a lot of detailed data including VOLA, ESOS, BIK, TP1 Relief and Zakat. Also there is a need to keep track of new staff and resigned staff.
Procedure to print E Form :
- Click “E Form Update/Total”. This will update the E Form data.
- Next “Click C.P. 8D Text File”. This will generate the LHDN approved text file for the E form.
- Upload this file directly to the LHDN website.
That is all. No calculations or print out needed!
You can also print the Excel version for checking purposes before uploading the text file.
E 2021 Explanatory Notes and EA & EC Guide Notes can be downloaded from this link.
Some of the files are quite difficult to find. We have gathered all the download information in the following article. For information on manually doing EA and E Forms please go to this link :
EA Form 2020/2021, C.P.8A and C.P.8D/E Form Guide
Check it out. Download the Trial version of Actpay which runs for 40 days.