The following are some frequently asked questions that we often encounter:
"How can I manually adjust tax exemptions for specific pay items such as childcare and travel allowances in Talenox?"
"Will the system automatically record my manually adjusted tax exemptions for Borang EA purposes?"
"When can we expect Talenox to support automatic tracking of limit exemptions for allowances like childcare and travel?"
Below, you'll find responses to frequently asked questions that we often encounter.
For income tax filed in Malaysia, employees are entitled to certain tax exemptions that can reduce our overall chargeable income. Tax exemptions either reduce or entirely eliminate your obligation to pay tax.
Most taxpayers are entitled to an exemption on their tax return that reduces their tax bill in the same way a deduction does.
You can go through this guide for more details.
A current limitation within the Talenox is that we do not yet support the automatic tracking of limit exemptions for childcare and travel allowances, including petrol allowances.
The rationale behind this decision is linked to the complexity of identifying which allowances and amounts are subject to exemption limits, especially given the highly customizable nature of our pay item fields. Since different companies may interpret and categorize these allowances differently, the automatic tracking could potentially lead to inaccuracies and confusion.
Talenox users still have control over their tax exemptions. Once the exemption limit for allowances is reached, users can manually un-tick the "Tax" checkbox in the payroll.
This action then signifies that the allowance is exempted, and the system will automatically include these un-checked allowance payroll amounts into Section F of Form EA accordingly.
Our team at Talenox understands the importance of having this feature for greater convenience and accuracy. We want to assure you that this enhancement is on our roadmap.
Stay tuned for more updates, and thank you for being part of the Talenox community.