Understanding Form B

Form B is an income tax return form used in Malaysia by individual taxpayers who earn non-employment income. It is specifically meant for those who derive income from businesses, partnerships, rental properties, dividends, and other non-salaried activities. Form B is a critical requirement for self-employed individuals or business owners.

Taxpayers are required to declare their income, claim allowable expenses, and compute their tax liabilities using Form B. The form must be submitted annually to the Inland Revenue Board of Malaysia (LHDN) within the stipulated deadline, typically by 30th June of the assessment year for taxpayers using e-filing.

Failure to submit Form B or any inaccuracies in the declaration may result in penalties or fines under Malaysian tax laws. To ensure compliance, taxpayers should maintain accurate records of income and expenses throughout the year.