e-PCB Plus: The Future of Payroll Tax Management for Employers
Lembaga Hasil Dalam Negara (“LHDN”) has officially introduced e-PCB Plus, a modernized system to replace the old PCB for managing employee’s monthly tax deductions. This new platform aims to simplify payroll processes, improve accuracy, and ensure timely tax payments for employers and employees. If you’re an employer, tax agent, or payroll administrator, this is what you need to know about this transition and how e-PCB Plus will make your payroll processes easier and more efficient.
How e-PCB Plus Works for Payroll:
e-PCB Plus streamlines payroll management by automating tax calculations, deductions, and payments. Employers register employees by inputting essential details, including salary, tax exemptions, and allowances, after which the system automatically calculates taxes based on the latest LHDN guidelines. During each payroll cycle, the system computes necessary tax deductions, requiring only employer approval. Payments are processed directly through the platform, ensuring accuracy and reducing the risk of errors. At the end of each month, e-PCB Plus generates and submits the required tax forms (CP39) to LHDN, ensuring timely compliance with tax obligations. The system provides real-time tracking, detailed reporting, and easy access to historical tax data for efficient management.
The Transition: What Employers Need to Know:
Employers still using the old PCB system must change to e-PCB Plus to avoid disruptions in payroll and tax submissions, as LHDN will phase out the old system, with a full transition deadline to be announced. To assist with this process, LHDN offers training through online tutorials, webinars, and a dedicated helpline. Employers are required to register on the official LHDN portal to access e-PCB Plus and begin managing tax deductions.
To change to e-PCB Plus, first sign up on the official LHDN portal to register your company and employees. Next, prepare your employees’ salary details, tax exemptions, and other relevant information for input into the system. Once registered, you can begin using e-PCB Plus to manage tax deductions, file returns, and make payments.
