Published On: 04/10/2025By

A New Step Toward Transparency and Digitalisation

The Inland Revenue Board of Malaysia (LHDN) has announced a new initiative to enhance transparency and communication with taxpayers.

Starting 17 September 2025, Monthly Tax Deduction (PCB/MTD) notifications are now being sent directly to individual taxpayers via email. The notification for August 2025 has already been distributed to taxpayers using the email addresses registered under their MyTax accounts.

This change marks another major step by LHDN in promoting digital service delivery and ensuring taxpayers have real-time access to accurate information about their monthly tax deductions.

Source: LHDN now sends monthly tax deduction notices via email – The Sun

What This Means for Employees

With this new email notification system, individual taxpayers can now:

  • Receive monthly PCB/MTD updates directly via email

  • Verify that their employer’s tax deductions have been correctly remitted and credited into their personal tax ledger

  • Stay informed without needing to log in to MyTax manually every month

This initiative provides greater transparency and assurance for all employees — helping them monitor their tax contributions and ensuring that everything aligns with what their employer has deducted from their salary.

What Employers Should Be Aware Of

While the email notifications are sent to employees, this update also indirectly impacts employers. It reinforces the importance of:

  • Ensuring accurate PCB/MTD submissions every month

  • Timely remittance of employees’ tax deductions to LHDN

  • Maintaining clear payroll records that match the deductions reflected in employees’ MyTax accounts

A compliant and well-managed payroll process not only avoids disputes but also builds employee trust in how deductions are handled.

Why This Matters to HR and Payroll Teams

For HR and payroll teams, this announcement is a timely reminder of how crucial it is to have accurate and automated payroll processes in place.

Manual calculations or submission errors can easily lead to mismatches between what is deducted and what is credited in employees’ tax ledgers — which could cause unnecessary complications.

That’s why many businesses are turning to digital HR solutions like Pandahrms to simplify and automate their payroll management.

With Pandahrms Payroll, you can:
✅ Automatically calculate PCB/MTD based on the latest LHDN updates
✅ Generate accurate EA forms and payroll reports
✅ Submit PCB files that comply with e-Data PCB standards
✅ Keep employee tax records organised and easily accessible

By using an integrated HRMS like Pandahrms, HR teams can save time, reduce errors, and ensure their payroll process always stays compliant with Malaysia’s latest regulations.

What Employees Should Do Next

To make sure you receive your monthly PCB notifications without interruption, LHDN advises all taxpayers to:

  1. Log in to your MyTax account

  2. Verify your registered email address

  3. Update it if necessary to ensure it’s valid and active

You can also check your Monthly Tax Deduction (MTD) payment details directly through the MTD link, or view detailed account information through the Ledger feature in MyTax.

👉 Access the MyTax portal here: https://mytax.hasil.gov.my

Final Thoughts

LHDN’s move to email-based PCB notifications is a strong step toward greater transparency, digitalisation, and efficiency in Malaysia’s tax system.

For employers, this update reinforces the importance of ensuring payroll accuracy and compliance.
For employees, it’s a reassurance that their monthly deductions are properly handled.

If your company still handles payroll manually or struggles with submission accuracy, now is the perfect time to switch to a smarter system.