Form P Malaysia 2026: Tax Filing Guide for Business Partnerships

Form P Malaysia 2026 is the mandatory income tax return for registered partnership businesses in Malaysia. Whether you operate a law firm, digital agency, professional practice, or any enterprise with two or more partners, it is essential to properly file Form P and report your partnership’s income to the Lembaga Hasil Dalam Negeri Malaysia (LHDN).

In this comprehensive guide, we explain Form P filing requirements for the Year of Assessment 2025 (to be filed in 2026), provide step‑by‑step filing instructions, and highlight common pitfalls and best practices to ensure compliance.

 

What Is Form P in Malaysia?

Form P (Borang P) is an annual income tax return specifically for registered partnerships in Malaysia. A partnership is a business structure formed by two or more partners who share profits, losses, and management responsibilities.

Unlike corporations, partnerships do not pay tax at the entity level. Instead, the partnership must declare its total income through Form P, and then each partner must include their share of profits in their individual tax returns, either Form B (for self‑employed/business income) or Form BE (for salaried employees with employment income).

Form P is different from:

• Form B – for individuals with business income

• Form BE – for employees with only employment income

The partnership’s net income is apportioned among partners for their personal tax filing.

 

Who Must Submit Form P?

Partnerships required to file Form P include:

• Partnerships registered with the Companies Commission of Malaysia (SSM) under the Registration of Businesses Act 1956

• Professional firms (e.g., legal, accounting, consulting)

• Trading partnerships

• Small businesses with two or more partners

• Joint ventures are treated as partnerships for tax purposes

Each partnership must submit Form P even if it does not earn taxable profit, with accurate information on income, losses, and profit distributions.

 

Form P Malaysia 2026 Deadline

For the Year of Assessment (YA) 2025, the e‑Filing deadline in 2026 is 15 July 2026.

All partnership tax returns must be lodged using the MyTax e‑Filing system. Manual or paper submissions are no longer accepted for current assessment years.

Late submission may result in penalties, interest, or compliance actions.
 

What Documents Are Needed for Form P 2026?

Before you begin the e‑Filing process, prepare the following:

For Form P (Partnerships)

• Partnership profit & loss statement for YA 2025

• Partnership balance sheet as at the end of the assessment year

• Summary of partner capital contributions and withdrawals

• Tax computation showing adjusted income and profit allocation

• Details of all partners (Name, NRIC/Passport, Tax Identification Number)

Proper documentation makes e‑Filing more efficient and reduces the risk of errors.

 

Step‑by‑Step: How to e‑File Form P in Malaysia (2026)

Filing Form P is done entirely through the MyTax portal, a secure platform managed by LHDN.

1. Log in to MyTax Portal

• Go to https://mytax.hasil.gov.my

• Log in using your MyTax ID and password (or MyKad/TAC)

• If you haven’t registered, complete the registration process before filing

 

2. Navigate to e‑Filing

• From the main menu, select e‑Filing

• Choose e‑Borang and then Form P

 

3. Complete Partnership Details

Enter key information such as:

• Partnership name and tax reference number

• Industry classification code (MSIC)

• Address and contact details

​​​​​​​

4. Declare Business Income

Input the partnership’s:

• Total gross income

• Allowable business expenses

• Net profit or loss

​​​​​​​

5. Allocate Profits to Partners
Provide:

• Each partner’s capital contribution

• Share percentage per partnership agreement

• Amount of income apportioned to each partner

​​​​​​​

6. Review and Submit

• Double‑check all entries for accuracy

• Click Submit

• Print or save your acknowledgment (e‑Ack) for your records

 

Common Mistakes to Avoid When Filing Form P

Accurate filing helps ensure compliance and avoids unnecessary penalties. Beware of the following:

Late Submission: Filing after 15 July 2026 may result in penalties and interest charges.

Incorrect Profit Distribution: Ensure that profit/loss allocations match what is stated in the partnership agreement.

Missing or Incorrect Partner Details: Verify NRIC/passport numbers, Tax Identification Numbers (TINs), and partner names.

Overclaiming Expenses: Only business‑related expenses are deductible. Personal or unrelated expenses are not allowed.

 

Tips for Accurate Form P Submission

• Maintain organised bookkeeping throughout the year

• Regularly reconcile accounts to reduce errors at year‑end

• Consider engaging a tax agent or accountant for complex filings

• Retain supporting documents for at least 7 years (LHDN audit requirement)

• Use the correct MSIC code for your business classification

 

Do Partnerships Pay Income Tax?

In Malaysia, partnerships do not pay tax at the partnership level. Instead:

1. The partnership submits Form P to declare total partnership income

2. Each partner then includes their portion of profits or losses in their personal income tax return, using:

• Form B (if self‑employed/business income)

• Form BE (if the partner has employment income only)

This approach ensures tax is paid at the individual partner level, not the entity level.

 

Submitting Form P Malaysia 2026 accurately and on time is crucial for every registered partnership. Proper preparation, good record keeping, and understanding the MyTax e‑Filing process will help you avoid penalties and maintain compliance with LHDN regulations.

Remember:

• Use MyTax exclusively for filing

• Meet the 15 July 2026 deadline

• Keep your financial records organised year‑round

This ensures peace of mind and smooth tax administration for your partnership.

 

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References

• Inland Revenue Board of Malaysia (LHDN) – MyTax e‑Filing guidelines

• LHDN RF Filing Programme 2026 – Tax return deadlines and requirements

• Partnership tax overview and filing requirements (SSM & tax guides)

• BP‑AST Malaysia – Tax compliance for partnerships

• Official MSIC (Malaysia Standard Industrial Classification) codes for business