Tax Rates For Year Of Assessment 2016 (Tax Filed In 2017)

Now that you understand how to derive your chargeable income to file for your 2016 income tax, we can calculate how much tax you will be paying for last year’s assessment.

Here are the progressive income tax rates for Year of Assessment 2015:

Chargeable Income	Calculations	Rate	Tax
RM0 - RM5,000	On the First RM2,500	0%	RM0
RM5,001 - RM20,000	On the First RM5,000		RM0
	Next RM15,000	1%	RM150
RM20,001 - RM35,000	On the First RM20,000		RM150
	Next RM15,000	5%	RM750
RM35,001 - RM50,000	On the First RM35,000		RM900
	Next RM15,000	10%	RM1,500
RM50,001 - RM70,000	On the First RM50,000		RM2,400
	Next RM20,000	16%	RM3,200
RM70,001 - RM100,000	On the First RM70,000		RM5,600
	Next RM30,000	21%	RM6,300
RM100,001 - RM250,000	On the First RM100,000		RM11,900
	Next RM150,000	24%	RM36,000
250,001 - 400,000	On the First RM250,000		RM47,900
	Next RM150,000	24.5%	RM36,750
RM400,001 - RM600,000	On the First RM400,000		RM84,650
	Next RM200,000	25%	RM50,000
RM600,001 - RM1,000,000	On the First RM600,000		RM134,650
	Next RM400,000	26%	RM104,000
Exceeding 1,000,000	On the First RM1,000,000		RM238,650
	Next ringgit	28%	RM....

Here’s how you calculate your tax based on the personal income tax rate above:

Example:

Chargeable income: RM63,850

Income	Rate	Tax
First RM5,000	0%	RM0
Next RM15,000	1%	RM150
Next RM15,000	5%	RM750
Next RM15,000	10%	RM1500
Next RM15,850	10%	RM3,200
Total chargeable income: RM65,850		Total tax: RM5,600

You can calculate your taxes based on the formula above, and just make sure your total income in the first column comes up to your total chargeable income.