TaxSavvyMY

LLP income tax return

Does an LLP pay tax itself or do partners pay?

The situation

An LLP is a separate taxpayer and files its own return within 7 months after the end of the accounting period.

The law

  • Sec 77A, Income Tax Act 1967: Companies and LLPs furnish a return within 7 months after the accounting period ends

What it means for you

The LLP pays tax on its chargeable income. Profits later shared with partners are generally not taxed again in their hands. Confirm whether the LLP meets the conditions for SME rates for the year.

What to do

  1. Close the LLP accounts.
  2. Prepare the tax computation.
  3. File the LLP return within 7 months.
  4. Pay any balance.

We can do this for youRegister an LLP and file the annual declaration: MYR 900

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