🇲🇾 LHDN Income Tax Act 1967 • Sections 107A, 109, 109B & 109F

Malaysia Withholding Tax (WHT) Calculator

Calculate statutory withholding tax (WHT) on cross-border payments to non-residents: royalties (10%), technical service fees (10%), interest (15%), and contractor withholding in Malaysian Ringgit (MYR).

⚡ Transaction Presets

Cross-Border Payment Parameters

RM
Total Withholding Tax Remittance (LHDN)
RM 10,000.00
Net Remitted to Non-Resident: RM 90,000.00 (10% WHT)

Withholding Tax Matrix

Disbursement Head Statutory Section Amount (MYR)
MS

Engr. Muhammad Shahzad

Verified Systems Specialist & Engineer

Principal systems architect and statutory compliance engineer. Specialist in Malaysian statutory frameworks, LHDN income tax schedules, EPF/KWSP regulations, and Bank Negara Malaysia financing guidelines.

View full author biography and credentials →

Frequently Asked Questions (Statutory FAQs)

What is Withholding Tax (WHT) in Malaysia?

Withholding Tax is an amount withheld by the payer in Malaysia upon paying certain types of income (such as royalties, technical services, contract payments, and interest) to non-resident persons, and remitted directly to the Inland Revenue Board (LHDN).

What is the statutory withholding tax rate on technical fees and royalties?

Under Section 109 (royalties) and Section 109B (technical fees, installation fees, and rental of movable property), the statutory withholding tax rate is 10% on the gross amount, unless reduced under a Double Taxation Agreement (DTA).

What is the withholding tax rate on interest payments to non-residents?

Under Section 109 of the Income Tax Act 1967, interest paid to non-residents is subject to a statutory withholding tax rate of 15% on the gross amount.

What is Section 107A withholding on non-resident contractors?

Under Section 107A: 10% is withheld on account of the non-resident contractor tax liability, plus an additional 3% withheld on account of tax payable by their employees, making a total of 13%.

When must Withholding Tax be paid to LHDN in Malaysia?

The payer must remit the withheld tax to LHDN within one (1) month from the date of payment or crediting to the non-resident, accompanied by the designated statutory CP37 form.