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What is LHDN Agency (Lembaga Hasil Dalam Negeri)? History, Services, How To Register

The Inland Revenue Board of Malaysia, known as Lembaga Hasil Dalam Negeri Malaysia (LHDN), is the government agency responsible for administering and collecting taxes in Malaysia. It plays a crucial role in the country’s financial system, ensuring that taxes are collected efficiently and fairly. In this article, we will explore the history of LHDN, the services it provides, and how to register for its e-Services portal.
LHDN Agency

History of LHDN (Lembaga Hasil Dalam Negeri)

Established in 1996, LHDN (Lembaga Hasil Dalam Negeri), also known as the Inland Revenue Board of Malaysia, has been at the forefront of managing Malaysia’s tax system for over two decades. Its creation was the result of the Malaysian government’s efforts to streamline tax administration and enhance tax compliance among individuals and businesses.

During its early years, LHDN faced numerous challenges as it worked towards establishing itself as the country’s primary tax authority. The organization had to develop robust systems and processes to effectively collect and manage tax revenues. This involved setting up regional tax offices across the country, hiring and training a skilled workforce, and implementing advanced technology solutions to support its operations.

As Malaysia’s economy grew and evolved, so did the responsibilities of LHDN. The organization had to adapt to the changing needs of the nation and respond to new tax policies and regulations. Over the years, LHDN has undergone several strategic transformations to enhance its capabilities and ensure efficient tax administration.

One significant milestone in LHDN’s history was the introduction of the self-assessment system in 2001. This system shifted the responsibility of tax assessment from the tax authorities to the taxpayers themselves. It aimed to simplify the tax filing process and encourage voluntary compliance. LHDN played a crucial role in educating taxpayers about the new system and providing them with the necessary guidance and support.

In recent years, LHDN has also embraced digitalization to improve its services and enhance taxpayer experience. The organization has launched online platforms and mobile applications, allowing taxpayers to file their tax returns, make payments, and access relevant information conveniently. These digital initiatives have not only made tax compliance more accessible but also helped LHDN to streamline its operations and reduce administrative burdens.

Types of Lembaga Hasil DalamNegeri Services

The Lembaga Hasil Dalam Negeri (LHDN), or the Inland Revenue Board of Malaysia, offers a suite of services to facilitate tax compliance and revenue collection for taxpayers and Syarikat (companies) in Malaysia. These services are crafted to streamline the tax application, payment, and filing processes, ensuring that individuals and businesses can trust the agency for efficient tax management.

e-Filing

LHDN’s e-filing service simplifies the annual ritual of submitting income tax returns. It is an online application that allows taxpayers to complete and send their return forms to LHDN electronically. This service provides a legal and convenient way for taxpayers to comply with Malaysian tax laws, ensuring that both the Cukai Pendapatan (income tax) and property tax are filed within the stipulated time each year.

e-Data Cukai Bulanan (PCB)

The e-Data PCB service is a digital solution provided by LHDN for agents and employers to calculate and submit Potongan Cukai Bulanan (PCB), or monthly tax deductions. This service supports employers in adhering to tax regulations by offering an accurate and streamlined method for the monthly deduction and remittance of employee taxes, ensuring that the tax agent complies with the LHDN’s requirements.

e-Lejar

e-Lejar is a digital record-keeping system introduced by LHDN to simplify the record management of tax payments. This service allows taxpayers to view, print, and download their payment records conveniently. With e-Lejar, taxpayers can track their tax payment history, ensuring transparency and ease in managing their financial records.

e-Resit

LHDN’s e-Resit service provides taxpayers with instant access to digital receipts for their tax payments. This online service negates the need for paper receipts, offering a convenient and eco-friendly option for taxpayers who make payments through LHDN’s various channels, whether for income tax, corporate tax, or other revenue-related payments.

e-Bayaran

e-Bayaran is a payment gateway offered by LHDN to facilitate secure and efficient tax payments. This service provides taxpayers with various payment options, including online banking, credit cards, and e-wallets. With e-Bayaran, taxpayers can conveniently settle their tax liabilities without the need for cash or physical payment at LHDN counters.

ByrHASiL

ByrHASiL is a mobile application introduced by LHDN to enhance the taxpayer experience. This app allows taxpayers to make tax payments, track refunds, view tax balances, and access various tax-related services through their mobile devices. ByrHASiL makes managing tax matters more accessible and convenient for taxpayers on the go.

How to Register, Login, and Use the e-Services Portal? (in 3 steps)

Lembaga Hasil Dalam Negeri (LHDN) provides an e-services portal to streamline tax-related processes for taxpayers. Here’s how you can register, login, and utilize this online system in three simple steps:
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Registration

Visit the LHDN website and click on the e-Services portal link. Fill in the required registration details, including your personal information and tax identification number. Once registered, you will receive a username and password to access the portal.
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Login

Using the provided username and password, log in to the e-Services portal. Ensure you keep your login credentials confidential to protect the security of your tax information.

Using the Portal

Once logged in, you can explore the various services available on the portal. Take advantage of features such as e-filing, tax payment, tax refund tracking, and access to digital tax records.

Legal Framework of LHDN Government Agency

LHDN operates within the legal framework provided by various Malaysian tax laws. The primary legislation governing LHDN’s operations is the Income Tax Act 1967. This act outlines the scope and administration of income tax in Malaysia, defining the rights and responsibilities of taxpayers and the powers vested in LHDN.
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LHDN Publication

LHDN regularly publishes tax guides and other informative materials to educate taxpayers on their rights and obligations. These publications provide valuable insights into various tax matters, helping individuals and businesses navigate the complexities of the tax system. Additionally, LHDN conducts workshops and training sessions to foster tax awareness and compliance.

Tender Process and Procedures
at LHDN

LHDN follows a transparent and competitive tender process for the procurement of goods and services. By adhering to stringent procedures, LHDN ensures that its procurement activities are conducted efficiently and in line with government policies. Through this process, LHDN aims to select vendors and contractors who can deliver quality products and services that meet the agency’s needs.

Contact Us Right Now to Learn More Prescon Hallmark LHDN Service

For more information about LHDN’s services and how they can benefit you, contact our dedicated customer support team. We are committed to providing excellent service and addressing any queries or concerns you may have. Reach out to us today and discover the hallmark service that LHDN offers.

FAQ

What is LHDN?
LHDN is the government agency responsible for administering and collecting taxes in Malaysia, ensuring efficient and fair tax compliance.
When was LHDN established?
LHDN was established in 1996 and has been managing Malaysia’s tax system for over two decades.
What are the benefits of using e-filing to submit income tax returns?
Using e-filing allows taxpayers to conveniently file their income tax returns online, eliminating paperwork and queueing at LHDN branches.
What are the types of taxes that LHDN administers and collects?
LHDN administers and collects various taxes, including income tax, corporate tax, goods and services tax (GST), and real property gains tax.