Title
EA or EC (Tax) Form for Malaysia (RPCTEAL0_01)

Purpose
This report generates the following forms for filing annual income taxreturns of the employees:

• EA Form for a private sector company


• EC Form for a public sector company


• Borang E Form for each employer reference number - This form is a
cover sheet for a set of EA or EC Forms under a particularemployer reference number.
Based on the results generated for the current financial year from theMalaysia Payroll Driver (RPCALCL0), the EA or ECForm is generated.
The EA or EC Form is generated at the end of the year.Determination of Tax Splits for tax reporting Feature (LTSPT) isused to define the criteria for the splitting of the EA or EC
Form.
The EA or EC Form contains information on the personaldetails of the employee, his or her earnings for the year and the amountdeducted and remitted under the Schedular Tax Deduction (STD) scheme.

Integration
Although SAP Script provides font substitution for individual printersto remain global, SAP recommends you to use HPLJ4Si/4SiMX PS laser jet.

Prerequisites


• You must have run the Prepare EA Form Report (RPCTSQL0) before
running the EA or EC Form. This report generates sequencenumbers for employees and stores them in the Serial no Table for EAform - Malaysia datable table (T5LSQ). The EA or ECForm reads the database records for the sequence number of an employee.

• You must have set the
Determination of TaxSplits for tax reporting Feature (LTSPT) for the splits in the EA
or EC Form.

• You must have set the
Determine Income TaxReturn Form (EA or EC) feature (LEAEC) to determine the IncomeTax Return Form type for a company.

• If you require to include additional lines under Section F of the
PA Form, you must configure the BAdI in Customizing through Payrollfor Malaysia -> Tax Forms -> EA or EC Form ->BAdI: Set Addtional Lines in Sec F of EAForm.
RESET N1

Features
EA or EC Form


• Sorting of EA or EC Form

On the selection screen, you have an option to define the sort sequenceof the EA or EC Form, for easy distribution. You can sortthe EA or EC Form on the following fields in addition toEmployee Sequence No, which by default is the last sort order field:
Company Code
Personnel Area
Employee Group
Employee Subgroup
Personnel Subarea
Cost Center
Organizational Unit
Employer Tax Ref No

• Section F

Section F of the EA or EC Form displays arrears ofprevious years paid in the current year. These arrears may include bonusfor previous years and/or retroactive difference amount of the previousyears. Since there are only two lines in Section F, the reporting of theamounts is as follows:
If the EA or EC form is printed for Year 'Y', then:
The first line displays arrears from the previous year (Y-1). In case ofbonus for previous year, make sure that the corresponding wage type hasspecification P1 for evaluation class 6.
For previous year (Y-1), and under the following columns, the reportprints the following information:
Total Payment (RM) - Arrears base amount for Employee ProvidentFund (EPF) calculation, stored inArrears EPF Basiswage type (/4A1) with split 01. This wage type has its evaluationclass set to D5.
EPF Contribution (RM) - Employee EPF contribution amount, storedin Arrears - EE EPFcontrib. wage type (/4A3) with split 01. This wage type has it'sevaluation class set to D6.
Schedular Tax Deductions (STD) (RM) - Employee Schedular TaxDeduction (STD) contribution amount, stored inArrears - EE STDcontrib. wage type (/4A5) with split 01. This wage type has itsevaluation class set to D7.
When there is P1 Bonus amount, the report cumulates the P1Bonus, EPF on P1 Bonus and tax on P1 Bonus withprevious year (Y-1) arrears amount, EPF and tax, respectively. Thereport then prints the values against their respective columns in theEA or EC form.
The second line prints arrears from years earlier than the previous year(Previous to and including Y-2). In case of bonus for more than oneprevious year, make sure that the corresponding wage type hasspecification P2 for evaluation class 6.
In case of arrears from more than one previous year (Y-2), the reportcumulates the amounts from previous years. The report then prints thecumulated amounts under following columns, respectively:
Total Payment (RM) - Cumulated values of Arrears EPF Basiswage type (/4A1) with splits greater than 01
EPF Contribution (RM) - Cumulated values of Arrears - EE EPFcontrib. wage type (/4A3) with splits greater than 01
Schedular Tax Deductions (STD) (RM) - Cumulated values ofArrears - EE STD contrib. wage type (/4A5) with splits greaterthan 01
When there is P2 Bonus amount, the report cumulates the P2Bonus amount, EPF on P2 Bonus and tax on P2 Bonus, witharrears amount, EPF and tax from more than one previous year (Y-2),respectively. The report then prints the cumulated values against theirrespective columns in the EA or EC form.
EA or EC Sorting Summary Report

• EA Sorting Summary report is generated along with the EA
Form.

• EC Sorting Summary report is generated along with the EC
Form.
This is not a legal report. This report displays information pertainingto the sort summary sequence that you have chosen and the number ofEA or EC Forms displayed for selected employees.
EA or EC Summary Report
This report has the following features:

• Displays a list of total earnings and tax paid by all the employees for
whom the EA report is run.

• A separate EA or EC Summary Form is printed for each Employer Tax
Reference Number.

• List of employees printed is sorted first on employee serial number and
then on employee name.
EA or EC Form breakdown list
This list contains details of the monthly earnings, deductions and taxpaid by the employee. A new form is printed for each employee. This isnot a legal report. This report displays the following details of anemployee:

• Company Code


• Name


• Employee Number


• Personnel Area and Personnel Subarea


• Cost Center/Organizational Unit


• Employee Group and Employee Subgroup


• Monthly break up of all the earnings, deductions and tax that are
reported in the EA or EC Form. The report displays the BIKearnings separately for every break up.
Note:
This report does not take into consideration the splits in the EAor EC Form.
EA or EC Form in background
To print the EA or EC Form in the background, you mustselect properties of the spool request and time of the job. A spool iscreated for the following reports:
EA,,EC
EA Form,,EC Form
EA Sort Summary,,EC Sort Summary
EA Summary,,EC Summary
EA Breakdown list,,EC Breakdown list
Use transaction SP01 to view the spool list
EA or EC Form with customer layout
EA Form and EA Summary report or EC Form and ECSummary report can be displayed on a customer defined layout. To doso, you must specify the names on the selection screen of the report.
Features Specific to EA Form

• If you are maintaining the position text of an employee in a table other
than Position Texts table (T528T), then you can implement theBAdI, HRPAYMY_EAFORM, to read the same from the specific table.This report calls the BAdI and prints the position text returned by theBAdI on the EA Form.
You can configure this BAdI in the IMG under Payroll for Malaysia-> Tax Forms -> EA or EC Form -> BAdI: Determine Description for Position of an Employee.

• Benefits in Kind (BIK) earnings

BIK earnings are reported in section B and C of the EA Form. Theseearnings are defined by the specification defined for Evaluation Class06 for the wage type and the income codes maintained in table viewCode Number for BIK (Malaysia) (V_T5LBA). These codes aredefaulted as the possible BIK contributions in BIK (Tax)
Infotype (0547). In the EA form, the mapping of the different sectionsis as follows:
Note:
I represents - EA Form mapping to specification of EvaluationClass 06
II represents - EA Form mapping to Code number of BIK item inBIK (Tax) Infotype (0547) (in table view Code Numberfor BIK (Malaysia) (V_T5LBA))
Section and Description of EA Form,,,,,,,,I,,,,,,,,II
B 001 - 1. Gross salary, wages or,,,,,,,,10,,,,,,,,-
leave pay (including overtime pay)
B 101 - Fee(Including director's ,,,,,,,,11,,,,,,,,-
fees), commision or bonus
B 102 - Gross Tips perquisite, other,,,,,,,,12,,,,,,,,120
gratuitous receipts or allowances
-Income Tax paid by Employer on,,,,,,,,13,,,,,,,,121
behalf of Employee
B 103 - (a)(i)Value of motor car,,,,,,,,20,,,,,,,,130
and fuel
- (ii)Value of driver,,,,,,,,21,,,,,,,,131
B 104 - (b) Light, water, telephone,,,,,,,,22,,,,,,,,140
and other utilities
B 105 - (c) (i) Semi-furnished with ,,,,,,,,23+24,,,,,,150
furniture*/air conditioners*/curtains*, or,,,,,,,,+25+26
(ii) Fully furnished with kitchen ,,,,,,,,27,,,,,,,,151
equipment, crockery/utensils/appliances, or
(iii) Individual items:
Furniture and fittings,,,,,,,,28,,,,,,,,152
Kitchen equipments,,,,,,,,29,,,,,,,,153
Entertainment and recreation,,,,,,,,2A,,,,,,,,154
Mobile telephone,,,,,,,,2B,,,,,,,,155
B 106 (d) Household servants and gardeners,,,,,,,,2C,,,,,,,,160
(e) Travel benefits,,,,,,,,2E,,,,,,,,161
(f) Others (for example, food,,,,,,,,2D,,,,,,,,162
and clothing)
B 003 - 3. Value of accomodation,,,,,,,,30,,,,,,,,003
B 107 - 4. Refund from unapproved ,,,,,,,,40,,,,,,,,171
provident/pension funds
5. Compensation ,,,,,,,,50,,,,,,,,172
of loss of office
C 007 - 1. Pension,,,,,,,,60,,,,,,,,007
C 010 - 2. Annuities or other ,,,,,,,,70,,,,,,,,110
periodical payments
Note:
When EA form splits in a year, the BIK earnings of the employee arereported in the last split of EA Form, for the given year. If multiplerecords of BIK (Tax) Infotype (0547) exists for a year,payments from all the records are added and reported in the last splitof EA form for that year.
Features Specific to EC Form
You can configure calculation methods for employment income, benefitsand living accommodation details of an employee in the BAdI,HRPAYMY_EAFORM. This report calls this BAdI and prints the valuescalculated by the BAdI in Section B of the EC form.
You can configure this BAdI in the IMG under Payroll for Malaysia-> Tax Forms -> EA or EC Form ->BAdI: Configure Calculation Method for Section Bof EC Form.
Borang E Form
The report prints the following details in the Borang E Form:

• Details of the employer


• Following details of employees under this employer reference number:

Total number of employees
Number of employees hired in the tax assessment year
Number of employees categorized under the STD scheme
Number of employees whose employment is ceased in tax assessment year

• Cumulation of following income tax deduction amounts of all the
employees for the employer reference number:
Total gross remuneration subject to the Income Tax Rules
Total income tax to be deducted as required under the Income Tax Rules
Total income tax deducted under the Income Tax Rules (Deduction fromRemuneration) and remitted to LHDNM
Total zakat deducted and remitted to Pusat Pungutan Zakat
Total income tax deducted under the Income Tax Rules with respect togrant of shares

Selection
User Parameters section


• Employer's Reference No identifies the employer for the payment
of employee and employer tax contributions to the tax office. Eachemployer has a unique number. This number identifies the employer whenhe/she makes the tax payments.

• Year of EA/ EC Tax Assessment is the year for which you want to
run the report.

• Employee Residential Address is the subtype of the Address
Infotype (0006), which will be used to print employee residentialaddress in EA or EC Form.

• Spouse Residential Address is the subtype of the Address
Infotype (0006), which will be used to print spouse residential addressin EA or EC Form.

• Accommodation Address is the subtype of the Address
Infotype (0006), which will be used to print employee accommodationaddress in EA or EC Form.

• Bonus for period field can be used to print the period of bonus
to be reported in EA or EC Form. The period specified heregets printed in EA or EC Form.
Output Format section

• Test run without printing - If you select this indicator, then
depending upon the Determine Income Tax Return Form (EA or EC)feature (LEAEC) configuration, only:
EA Sorting Summary report gets printed when you choose PrintEA Form on EA (Tax) Report screen.
EC Sorting Summary report gets printed when you choose PrintEC Form on EC (Tax) Report screen.
This can be used as a test run.

• You can generate the report in the Standard SAP Layout, or your own
customized layout.

• Include retroactive payments in Gross Salary - If you select this
indicator, the all amounts that were paid retroactively, get printed in'Gross Salary' section of the form. For details, refer to Note812666.
Borang E Form section

• Print Borang E Form - If you select this indicator, the report
prints the Borang E Form.

• Enter following details of the employer:

Registration number as registered with the Companies Commission ofMalaysia (CCM)
Status code

• Enter following details of the person who declares the Borang E
Form on behalf of the employer:
Designation
Name
Any of the following:
Passport number
Identity Card number
Police number
Army number

• Enter the designation of the person who declares the Borang E
Form on behalf of the employer.

• Enter the name of the person who declares the Borang E Form on
behalf of the employer.

• Indicate whether an employee under this employer reference number has
ceased employment to leave Malaysia.

• In case an employee under this employer reference number has ceased
employment to leave Malaysia, indicate whether the employer has reportedthe cessation to Lembaga Hasil Dalam Negeri Malaysia (LHDNM)
Additional Data section
You may specify a sequence to sort the EA or EC Form usingthe Sort Sequence option.

Output
When you execute the report, you will get an ALV Grid, which displaysthe following:


• Company Code


• Employer Reference Number


• Employee Sequence Number


• Employee Personnel Number


• Employee Income Tax Number


• Tax Office


• Employee IC Number


• Employee Name

You now have the following options for:

• EA Form

Print Form prints EA Form and EA Sort Summaryreport.
Print Summary Report prints EA Summary report only.
Print EA and Summary prints EA Form, EA Sort Summary
and EA Summary reports.
EA with BreakDown List prints EA Form, EA Sort Summary
, EA Summary and EA Breakdown list reports.

• EC Form

Print Form prints EC Form and EC Sort Summaryreport.
Print Summary Report prints EC Summary report only.
Print EC and Summary prints EC Form, EC Sort Summary
and EC Summary reports.
EC with BreakDown List prints EC Form, EC Sort Summary
, EC Summary and EC Breakdown list reports.

• Borang E Form

Print Borang E Form prints Borang E Form

Activities
From the SAP Easy Access menu, choose Human Resources ->Payroll -> Asia/Pacific -> Malaysia -> Subs.activities -> Annual -> Legal reporting -> Taxes-> EAform.
The EA or EC Form selection screen appears.
Enter the relevant selection criteria.
Select File -> Execute.
The EA or EC (Tax) Report screen appears.
Select one of the output options on the application toolbar.

Example
EA or EC Form split
Consider the following employee in year 2002:


• 01.01.2002 to 30.06.2002 - Employed in Company A


• 01.07.2002 to 31.12.2002 - Employed in Company B


• BIK (Tax) Infotype (0547) for Malaysia, Value of Accomodation

is as follows:
01.01.2002 to 30.04.2002 - Amount is RM 200
01.05.2002 to 31.08.2002 - Amount is RM 350
01.09.2002 to 31.12.2002 - Amount is RM 500
Based on the return value of Determination of Tax Splits for taxreporting Feature (LTSPT), EA or EC Form will beprinted. If there is a split in the EA or EC Form, BIKearnings for the entire year are reported in the last split only. Inthis case the last split of the EA or EC Form will displayRM 1050 (200+350+500) as Value of Accommodation.