There are 2 possibilities.


Possibility 1:


You forget to update

  • Employee’s payroll record from the previous employment, if the employee is a newbie who joined the company this year.

  • Employee’s payroll history on current employment, if you are migrating to our payroll system and have run several past payrolls.


The formula used by the LHDN included the previous payroll data when calculating income tax. Failure to update the payroll record from current & previous employment will affect your PCB calculation.

Please refer to KB: Update employees' payroll history data for updating the payroll records.

Possibility 2:

PCB Calculation(RM)PCB Amount Deduction(RM)
PCB for current month< 100
>= 10Deduct as per PCB calculation
bNet PCB
(after zakat and departure levy deduction for the current month)
< 10Deduct as per PCB calculation
>= 10Deduct as per PCB calculation

If the PCB for the current month/net PCB after deduction for zakat is less than RM10, the employer is not required to make the Monthly Tax Deduction to LHDN. Thus, it will be reflected as 0 if the PCB is below RM10.