LHDN Form TP1: Save Taxes Monthly via Your Payroll

By LHDN Payroll Architect1 min read • 136 wordsLast Updated: June 2026
Many Malaysian workers do not know that they can lower their monthly PCB deduction by declaring their tax reliefs progressively. The Borang TP1 (TP1 Form) is the official mechanism for employees to report monthly tax reliefs directly to their company's HR department, updating e-PCB amounts immediately.
Please Note: This calculator provides an estimate only and is not an official LHDN ( Hasil ), KWSP or PERKESO statutory submission tool. Actual PCB, EPF, SOCSO and EIS amounts may vary depending on employee status, residency, tax relief eligibility, rebates (e.g. spouse/children declarations), TP1/TP3 information, prior employment records within the year, and official updates. Please verify calculation figures against official LHDN portal, KWSP booklets, PERKESO schedules, or consult with a certified payroll/tax compliance specialist.

What is Form TP1?

Borang TP1 is a continuous diagnostic declaration form where employees state their eligible expenses during the tax year, such as medical insurance, lifestyle purchases (books, technology, gym memberships), and education costs. Declaring these to your employer will instantly reduce the taxable income base in your monthly PCB formula, saving you from waiting for year-end refunds.

When and How to Submit TP1

You should submit your completed TP1 Form to your employer as soon as you incur eligible expenses. Employers will then input these values into the computerized e-PCB calculation software for the current or subsequent month.

Frequently Asked Questions (FAQs)

No, it is voluntary. If you don't submit TP1, you can still claim all these tax reliefs later during your April e-Filing submission and get a tax refund. TP1 simply gives you cash flow benefits earlier.

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