Malaysian personal income tax is progressive from 0% to 30%, but the average effective rate for most middle-income earners is 3%โ8% after reliefs. Understanding the full relief system can save thousands annually. Here is the complete 2026 guide for Malaysian resident taxpayers.
Malaysia Income Tax Rates 2026
| Chargeable Income | Tax Rate | Tax on Band |
|---|---|---|
| RM0 โ RM5,000 | 0% | RM0 |
| RM5,001 โ RM20,000 | 1% | RM150 |
| RM20,001 โ RM35,000 | 3% | RM450 |
| RM35,001 โ RM50,000 | 8% | RM1,200 |
| RM50,001 โ RM70,000 | 13% | RM2,600 |
| RM70,001 โ RM100,000 | 21% | RM6,300 |
| RM100,001 โ RM400,000 | 24% | RM72,000 |
| RM400,001 โ RM600,000 | 24.5% | RM49,000 |
| Above RM2,000,000 | 30% | Variable |
Key Personal Tax Reliefs 2026
Self: RM9,000. Spouse (no income): RM4,000. Child (per child): RM2,000 (under 18) or RM8,000 (higher education). EPF/Life Insurance: RM4,000. Medical Insurance: RM3,000. SSPN: RM8,000. Medical/dental: RM1,000. Lifestyle: RM2,500. Parental care: RM5,000.
How to File Your Tax Return
1. Register at MyTax portal (mytax.hasil.gov.my) if first-time filer. 2. Receive Form EA from employer by February 28. 3. File e-Form B (business income) or e-Form BE (employment income) by April 30 (BE) or June 30 (B). 4. Pay any balance tax due immediately or apply for LHDN's 12-month instalment plan.
Calculate your exact tax bill with our ๐งพ Income Tax Calculator.