Malaysia's resident tax brackets run from 0% to 30% across 10 bands, with an automatic RM9,000 relief and a targeted RM400 rebate doing significant work for lower earners.
YA2025 Resident Tax Brackets
| Chargeable Income (MYR) | Rate |
|---|---|
| 0 – 5,000 | 0% |
| 5,001 – 20,000 | 1% |
| 20,001 – 35,000 | 3% |
| 35,001 – 50,000 | 6% |
| 50,001 – 70,000 | 11% |
| 70,001 – 100,000 | 19% |
| 100,001 – 400,000 | 25% |
| 400,001 – 600,000 | 26% |
| 600,001 – 2,000,000 | 28% |
| 2,000,001+ | 30% |
The RM9,000 Automatic Relief
Every resident taxpayer gets an automatic RM9,000 personal relief before brackets apply, regardless of circumstances — separate from other reliefs (spouse, children, insurance, EPF) that can further reduce chargeable income.
The RM400 Rebate for Lower Earners
Chargeable income of RM35,000 or below qualifies for a RM400 tax rebate, directly reducing the tax bill for this group beyond what the bracket structure alone provides.
Common Mistakes
- Confusing gross income with chargeable income. Chargeable income is after the RM9,000 relief and any other applicable reliefs — brackets apply to this reduced figure, not gross salary.
- Missing the RM400 rebate eligibility cutoff. It only applies at RM35,000 chargeable income or below — a small but easily-missed reduction for this income band.
Calculate your exact figure now.
🇲🇾 Malaysia Tax CalculatorFrequently Asked Questions
What's Malaysia's tax-free threshold?
Effectively RM5,000 chargeable income (the first bracket taxes at 0%), before the RM9,000 automatic relief is even applied — meaning most low earners pay no tax at all.
Is the RM9,000 relief the only deduction available?
No — it's automatic and separate from additional reliefs for spouse, children, EPF contributions, insurance premiums, and other qualifying expenses, which can further reduce chargeable income.