LHDN: Employers Required to Declare Worker Termination and Death for Tax Compliance

LHDN requires private and public sector employers to report employee terminations or deaths using CP22A (private) and CP22B (public) forms. Reports must be submitted 30 days before termination or within 30 days of an employee’s death for tax clearance (SPC). Employers must withhold payments for 90 days or until SPC is issued. From September 1, 2024, employee data updates must be made via e-SPC on MyTax. Employers must issue EA/EC statements by February 28 for tax filing. LHDN urges employers to register for the new e-PCB Plus system, replacing e-PCB, e-Data PCB, and e-CP39 for streamlined tax compliance.

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