If you are running digital advertising campaigns in Malaysia specifically on Google, Facebook or LinkedIn, you might want to pay attention t...
Since 2017, LHDN (Inland Revenue Board in Malaysia) has classified payment to Google, Facebook, LinkedIn advertising as "royalty" hence 8% Withholding Tax applies.
You can read our in-depth coverage on this topic here, to understand why you need to factor in Withholding Tax in your advertising cost.
This article will focus on the submission process of Withholding Tax. You are at the right place here if you are looking for Google, Facebook or LinkedIn Certificate of Residence (COR) so read on!
Instead of the standard 10% WHT required for royalty, you just need to factor in 8% WHT for royalty payment to Singapore and Ireland under the Double Taxation Agreement (DTA) scheme.
In case you are wondering, in this part of the world, Google and LinkedIn billed from Singapore while Facebook invoiced from Ireland.
In order to entitle for 8% WHT, you need to submit COR, also known as Tax Residency Certificate (TRC), as a supporting document. This is to prove that Google, LinkedIn is a Singapore tax resident and Facebook is an Ireland tax resident.
Do take note that COR is only valid for a year so you need to have the copy for every year you are claiming for 8% WHT.
The challenge here is COR is not easily obtainable on the Internet. Don't worry though as we have acquired all the Google, Facebook & LinkedIn COR from 2017 to 2021 (updated), just read on to find out how you can download the documents.
Google COR - Singapore (Preview)
Facebook COR - Ireland (Preview)
LinkedIn COR - Singapore (Preview)
Download Google, Facebook, LinkedIn COR 2017-2021
Since we can make your life easier by having all the CORs at one go, how about buying us a coffee?
You can pick from the table below, make payment via PayPal (either with your credit card or PayPal balance) and the download link will be sent to your email automatically.
Do take note that Google and LinkedIn COR are issued in Singapore while Facebook COR is issued in Ireland.
|COR Item||Pay & D/load|
|Google COR from 2017-2021 (5 docs)|
|Facebook COR from 2017-2021 (5 docs)|
|LinkedIn COR from 2017-2021 (5 docs)|
|[Combo] Google & Facebook COR from 2017-2021 (10 docs)|
|[Combo] Google, Facebook & LinkedIn COR from 2017-2021 (15 docs)|
No receipt will be issued, you can refer to your PayPal transaction activity for the payment proof.
How to submit Withholding Tax payment?
First of all, you need to download and fill-up Form CP37 by LHDN in order to submit the Withholding Tax payment.
Yes you heard it right, it is a form you need to print out and submit physically.
You might be wondering, when and how frequent do you need to submit WHT payment to LHDN? You are required to do so within 1 month from the date you make the payment to either Google or Facebook.
- If any part of the tax payable is not paid within one month after paying or crediting the payment, the tax will be increased, without further notice, by a sum equal to ten percent of the amount which he fails to pay in accordance with Subsection 109(2) of the Income Tax Act 1967.
The troublesome part is that WHT payment can't be made electronically yet, you can either post the cheque or pay over the counter, only at KL, KK or Kuching.
We prefer the method of paying over the counter as we get the receipt in return, just to be safe. Bonus tips: We engage runners to make WHT payments over the counter, time is money!
Hopefully, LHDN will consider making the payment process easier for businesses to berkhidmat untuk negara.