What is this module for?
This screen is the personal income tax working sheet for individuals, not companies. Use it for Form B (sole proprietor or partnership) or Form BE (salary or director's fee). An Sdn Bhd's own profit is taxed on the Company Tax screen instead. It reads your Profit and Loss, applies the tax bands stored for the year and shows an estimate.
How do I set my assessment basis?
- Open Income Tax and check the year shown under the title.
- Under Assessment basis, pick Sole proprietor, Partnership, or Sdn Bhd director.
- Sole proprietors and partners are taxed on business profit (Form B).
- Directors are taxed only on drawn income (Form BE).
- The choice saves immediately and updates the income figure.
How do I enter my income?
- Sole proprietors see Business income filled in from the whole-year Profit and Loss. It cannot be typed over, and a loss shows as nil.
- Partners type their profit share percentage.
- Directors or employees type income or upload an EA form.
- If uploading an EA, review the figures and press Save.
- Enter any other taxable income in the Other income field and press Save.
How do I claim tax reliefs?
- Scroll to Tax reliefs and type your claim amount beside each relief.
- Do not double-count receipts already logged on the Tax Relief screen.
- Use the From EA button to auto-fill EPF relief if an EA is loaded.
- Press Save to apply caps to individual and grouped reliefs.
How do I read the tax estimate?
- Check Chargeable income, which is income before reliefs.
- Subtract Tax reliefs to find Taxable income.
- View Tax charged based on the applicable tax band.
- Note any Individual rebate or zakat rebate deducted from the tax.
- Read the final Tax payable. If an EA is loaded, PCB already deducted is subtracted to give Balance payable or Refund due. The app has no connection to LHDN e-Filing.
What this does to your books
This module writes nothing to your accounts. It saves tax working data such as the assessment basis, income figures, EA forms, reliefs and zakat, but creates no journal, no Profit and Loss line and no Balance Sheet item. The tax you owe is not recorded in the books either: enter it by hand if you want it there, and remember that personal tax paid by a sole proprietor is a drawing, not a business expense.