FAQ for Income Tax related to Shaklee Business

1) Are bonus / trip cash-in-lieu (monetary incentive) and incentive trip (non-monetary
incentive) received from Shaklee business considered as income for distributors?
Yes. The income received for the year will be stated in the Form CP58.

2) What is Form CP58?

• It is a statement of Monetary and Non-Monetary Incentive payment to an agent,
dealer or distributor pursuant to section 83A of the Income Tax Act 1967. Shaklee
will issue CP58 to distributors who received incentive payment more than
RM5,000 for the year.
• Examples of monetary incentive are payments in cash, like bonus and
commission.
• Examples of non-monetary incentives are perquisites, products of the payer
company and points redemption. It includes the incentive trips entitlement based
on qualification by distributors.
• The monetary and non-monetary incentive payment stated in CP58 will be from
Jan to Dec of the year.
• Format of form is appended in Appendix 1

3) When will Shaklee issue CP58 to distributors?

• Shaklee will issue electronic CP58 for distributors to download via
“Shaklee.com.my (Distributor Log in)” on or before 1 April of the following year.
This is for incentive payment from 1 January to 31 December.
• For example, CP58 for incentive payment of year 2020 should be issued to
distributors on or before 1 April 2021.

4) Can Distributor request for CP58 if has not accessed to Shaklee.com.my?

• Yes, distributor can walk in or write in via email to request a copy of CP58.

5) Which income tax return form should distributor use?

• Form BE for individual without business source
• Form B for individual with business source.
• Form C for company.

Note : “Business source” is defined as income derived from carrying on a business or

self-employed. In Shaklee’s context, distributors who earn commission from the
company are considered as having a business source.

6) When is the due date for distributors to submit income tax returns manually?
• For individuals without business source, the due date is on or before 30th April.
• For individuals with business source, the due date is on or before 30th June.
• For company, it will be 7 months from the financial year end. For example, The
due date is on or before 31st July for company with financial year end at 31 Dec.
7) When is the due date for distributors who submit their income tax return using e-Filing?
• Distributor using e-Filing to submit their income tax return will have more time to
file compared to manual filing. However the extension of time is subject to IRB’s
discretion.
a) For individuals without business source, the due date will normally be
extended by another 15 days to 15th May.
b) For individuals with business source, the due date will normally be extended
by another 15 days to 15th July.
c) For company, there will be an additional grace period of one month.

8) Any other benefit of e-Filing?

• e-Filing income tax system calculates your income tax automatically after filing
all required information whereas manual income tax filing will need you to
calculate and fill it in manually.

9) Where can distributors obtain the information for Tax Relief, Donations & Gifts, Tax
Rebates, Capital Allowance, Tax Exemption, Income Tax Rates and other related tax
information for individual?
• Please visit the website:
http://www.hasil.gov.my/bt_goindex.php?bt_kump=202&bt_skum=1

10) Where can distributor obtain the information for Income Tax rates and other related tax
information for company?
• Please visit the website:
http://www.hasil.gov.my/bt_goindex.php?bt_kump=202&bt_skum=2

11) Will Shaklee assist if distributor has further questions or queries about income tax?

• Yes. All common questions or queries about Income Tax related to Shaklee
business, distributor can submit to us via email at customerinquiry@shaklee.com.
Reply will be within maximum of 5 working days.
Appendix 1