5.Revise Estimation of Tax Payable (CP204A)

Submission of CP204 Form within the Stipulated Time

            A company can revise the tax estimate on the 6th and 9th month of the basis period using CP204A Form.

Example:

            The basis period for ABC Sdn. Bhd. is from 01/01/2012 to 31/12/2012 for the year of assessment 2012. The due date for CP204 form submission should be not later than 01/12/2011. The company can revise the tax estimate in June and September 2012 using CP204A form.

            However, if a company plans to revise their tax estimate other than on the 6th and 9th month of the basis period, the company has to furnish an appeal letter, subject to IRBM approval.

A company can revise the tax estimate on the 6th and 9th month of the basis period using CP204A Form. [Note: Form CP204A can be download here]

i)          A company/co-operative society/trust body/unit trust is allowed to revise its original estimate, in the sixth or ninth month or both months of the basis period for a year of assessment) If the tax payer revised its estimated tax payable and the amount exceeds the installment payments that have been made during the year, the difference has to be paid in the remaining installments in equal proportions.

Example

Initial Estimate = RM120,000

Revised Estimate = RM190,000

Installment paid for the year = RM10,000 X 5 = RM50,000

Remaining installment = (RM190,000-RM50,000)/7 months

= RM 20,000 for 7 months

ii)         If the instalment payments that have been made during the year exceed the revised estimated tax payable, the tax payer may discontinue the balance of instalment payments. The balance of the tax payable for the year must be settled within 7 months after the closing of accounts.

Example

Tax payable (computed in Return Form) = RM100,000

Instalment paid = RM70,000

Balance of tax payable = RM30,000

            The balance of the tax payable for the year of RM30,000.00 must be paid within 7 months after the closing of accounts