Below you'll find useful information about money and tax in Malaysia.
Your salary is subject to Malaysian tax regulations so it is your responsibility to familiarise yourself with these. You will need to submit a self-assessment tax return at the end of each year and at the end of the contract. In order to be considered a resident for tax purposes (and therefore pay a lower rate of income tax), the basic requirement is for you to be physically present in Malaysia for at least 182 days in a calendar year.
When you join the project, tax at the non-resident rate (currently 26%) will be deducted from your salary. If you join the project before the end of June 2014, when you submit your tax return in April 2015 for the 2014 tax year, you should be eligible for a tax rebate provided you gained tax resident status in 2014. If you join the project after 20 July 2014, you will still need to submit a tax return in April 2015, but you will not achieve tax residency until July 2015 at the earliest. Provided you achieve tax residency in 2014 and/or 2015, you will be eligible for a tax rebate when your tax is cleared at the end of the project. Please note that in accordance with new tax laws in Malaysia, we cannot deduct resident rate tax from your salary until you become tax resident. (The Malaysian tax year runs from 1 January to 31 December).
Disclaimer: Please note it is up to you do what is necessary to achieve tax residency. Tax residency rules are complicated. The British Council does its best to help you understand them but cannot be responsible for any errors or omissions. As such, the above information is for guidance only. Once you arrive in Malaysia, you are strongly advised to check with your local tax office to ensure your travel plans will not compromise your achievement of tax residency. The most up-to-date information on individual resident and non-resident tax is provided by the Malaysian Inland Revenue: www.hasil.gov.my/index.php (you can select for English)