The EA Form plays a significant role in ensuring compliance with tax regulations and facilitates the smooth processing of tax assessments for both employees and employers. Learn more about the EA Form and download your FREE EA Form Template below.
What is the EA Form?
The EA Form (C.P 8A) or Borang EA is a document provided by employers to their employees at the end of each tax year. It summarizes the employee's earnings throughout the year so they can accurately report their earnings to the Inland Revenue Board of Malaysia (LHDN). The form is used to determine tax brackets for filing tax returns and includes various categories of employment earnings such as gross salary, overtime pay, commissions, bonuses, allowances, benefits-in-kind, and contributions to private pensions.
Who needs to fill up the EA Form?
All employees who have worked for more than 7 days and received payment for their work are to be provided by employers with an EA Form, regardless of whether they are permanent or contract staff.
When is the deadline for EA Form Issuance?
According to Section 83(1A) of the Income Tax Act 1967, employers must issue EA forms to both present and former employees who worked for them during the assessment year by the 28th of February of the following year. This means that for YA 2023, employees should have already received their EA Form from employers by the 29th of February 2024.
While the EA Form isn’t submitted to LHDN by the employer, failure to prepare the EA Form may result in penalties, including fines of up to RM20,000, imprisonment for up to six months, or both.
Employees filing their income tax, on the other hand, should submit Form BE on or before 30 April 2024.
Form EA should be provided by employers to their employees. It isn’t required to be submitted to LHDN.
Form EA should be provided annually by employers, typically before the deadline for filing personal income tax returns.
PayrollPanda helps with Form EA compliance by automating taxes and filings, minimizing human errors in calculations, and ensuring compliance with the latest requirements from government bodies. It offers guaranteed tax compliance with over 80 preset payroll items that factor in obligatory statutory deductions and optimize PCB calculations. Users can rest assured that PCB exemption limits and the placement of payroll items in the EA fields are always based on the latest yearly updates.
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