Malaysia: tax at a glance

The taxes

Personal income (top)

30%

Corporate income

24%

Capital gains

There is no general capital gains tax. Real property gains tax runs up to 30%, and a 10% capital gains tax applies to disposals of unlisted shares, from 2024.

VAT / SST, with sales tax of 5-10% and service tax of 8%.

None. Malaysia uses SST instead.

Dividends (WHT)

0%, under the single-tier system. A 2% tax applies to resident-individual dividends above MYR 100k, from YA2025.

Interest (WHT)

15%

Royalties (WHT)

10%

Social security (employee)

11% to the EPF, plus roughly 0.5% for SOCSO and EIS.

Social security (employer)

12-13% to the EPF, plus roughly 1.75% for SOCSO and EIS.

Wealth tax

None

Inheritance / estate

None. Estate duty was abolished in 1991.

Property tax

Local assessment rates, known as cukai pintu, and quit rent, known as cukai tanah.

Other

SST, with sales tax of 5-10% and service tax of 8%.

How the system works

Tax system

Territorial

Foreign income

Largely outside scope (territorial)

Taxes by citizenship

No

Exit tax

No

CFC rules

No

CRS

Participating

Special regime

The Returning Expert Programme, a flat 15%.

The rates below are indicative headline figures (top marginal, standard, and headline rates), reviewed 2026-07. Brackets, surcharges, and state, provincial or cantonal taxes vary. Treat this as a reference map, not advice.