Flexible Work Arrangements Income Tax Deduction - Initiatives

Initiatives

Flexible Work Arrangements INCOME Tax DEDUCTION

For Employers Who Embrace The New Normal

Flexible Work Arrangements Tax Exemption

A work-life friendly workplace can be established by introducing and implementing Flexible Work Arrangements (FWA) that allow employees to vary their work arrangements to suit their individual needs.

The FWA Incentives were announced by the Prime Minister under the Pelan Jana Semula Ekonomi Negara (PENJANA), also known as the National Economic Recovery Plan as an approach to cushion Malaysia’s economy recovery and to propel local businesses.

In an effort to embrace the new normal, the Malaysian Government is supporting eligible employers with further tax deduction for implementing FWA, or undertaking enhancement of their existing FWA. This initiative, known as the Flexible Work Arrangements Income Tax Deduction is effective from 1 July 2020.

ELIGIBILITY

Companies that are eligible for the Income Tax Deduction Cost of Implementation of Flexible Work Arrangements (FWA) may claim this tax deduction twice up to a maximum amount of RM500,000 for each year, up to three (3) consecutive years of assessment starting from the date of implementation approval obtained from TalentCorp. Applications is for expenses incurred within the period of 1 July 2020 to 31 December 2022.

For more information, kindly refer to the Guidelines and its relevant forms below.

a. FWA Income Tax Deduction Guidelines

(Versi Bahasa Malaysia / English Version)

b. FWA Income Tax Deduction Application Form
(Versi Bahasa Malaysia / English Version)

c. FWA Income Tax Deduction Declaration Form
(Versi Bahasa Malaysia / English Version)

d. FWA Income Tax Deduction FAQ
(Versi Bahasa Malaysia / English Version)

Applications should be submitted to flexworklife@talentcorp.com.my. For assistance, kindly contact the team at flexworklife@talentcorp.com.my.

HOW TO APPLY FOR THE FWA TAX DEDUCTION

1. Refer to the Guidelines and Frequently Asked Questions (FAQs) for the eligibility and criteria.

2. After reading the Guidelines and FAQs, please fill in the Application Form and the Declaration Form.

3. Submit the application, supporting documents and signed declaration form via email to flexworklife@talentcorp.com.my.

4. Once your application is successful, you will receive the Surat Pengesahan Pengaturan Kerja Fleksibel, for your e-filling with Lembaga Hasil Dalam Negeri Malaysia (LHDNM).

Are you ready to adopt future-ready work policies?

We work with organisations to implement FWA at their workplace. To get started with a repository of best practices in implementing FWA and family-friendly facilities at the workplace, contact the team at flexworklife@talentcorp.com.my.

facts & figures

4,121

approvals since 2011

*accurate up to December 2016

MOSTLY

returned from Singapore, China, UK, Australia, USA

The Harvard Business School

will be using REP as a case study for the Master students in Macro-Economics this Fall 2017

KEY BENEFITS

Benefit from implementing Flexible Work Arrangements in your organisation

Enjoy tax deduction following the fulfilment of criteria

Motivate your employees and raise their morale

Be known as an employer of choice

THIS INITIATIVE IS FOR:

Employers

Need more information? Contact us.

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Frequently Asked Questions

What is the applicatioWhat is the Returning Expert Programme?n process like?

The Returning Expert Programme (REP) is a programme introduced to facilitate the return of Malaysian professionals to meet the talent needs, especially in the context of the Economic Transformation Programme (ETP).

How much does it cost to apply?

Currently, there is no fee on the application for the REP.

I don’t have a job in Malaysia.

We can also connect you with leading employers in Malaysia to help you discover new career opportunities. Drop us an e-mail at globalmalaysians@talentcorp.com.my