TABLE OF CONTENTS
This article outlines the policies and procedures for travel, mileage, invoicing, and reimbursement of business expenses for employees based in Malaysia.
Invoicing and Documentation
Invoices and receipts should clearly indicate:
Vendor name
Date
Description of good and/or services
Total amount
When relevant, list Remote People as the purchasing entity.
Remote People Global Technology Malaysia Sdn. Bhd
256B, Jalan Bandar 12, Taman Melawati, 53100 Kuala Lumpur, Selangor, Malaysia
Reimbursement and Taxability
Tax-Free Reimbursements
Reimbursements for business-related expenses are typically non-taxable when properly documented.
Optical reimbursements are consiudered taxable benefits.
Entertainment and Gifts
Must be justified.
Taxable if not directly business-related.
Health and Wellness
Generally not taxable if:
Directly related to health and safety of the employee, spouse, or children.
Covered by a company health plan
Examples of taxable items:
Gym memberships
Yoga classes
Similar personal wellness activities.
VAT
Malaysia does not have VAT system, it operates under States and Service Tax (SST) regime.
SST is not reimbursable and is considered part of the total cost of the expense.
Travel and Mileage
Mileage Rates
The reimbursement rate is RM 0.90 / KM
Parking and Toll
Submit as separate expense items.
Must include receipts.
Business Travel Restrictions
No statutory cap on business travel.
Restrictions are subject to each employer's internal policy.
Transport Service Rules
Mileage claims apply only to the use pf personal vehicles.
Air, bus, train, tram, taxis, rental cars
Requirements:
Receipts
Approval