From October 1st, 2023, Malaysia welcomes digital nomads with an exciting opportunity. Suppose you’re earning $24,000 a year or more annually from remote work or freelancing. In that case, you can now apply for a one-year Malaysia Digital Nomad Visa called De Rantau Pass, renewable for a second year.
What is the (De Rantau Pass) Malaysia Digital Nomad Visa?
The DE Rantau initiative is launched to position Malaysia as one of the top destinations for digital nomads within the ASEAN countries. This program focuses on enhancing digital integration, encouraging the movement of digital professionals, and promoting tourism throughout Malaysia.
Why Malaysia Appeals to Digital Nomads
Malaysia Digital Nomad Visa (DE Rantau program) will benefit local Freelancers, Remote workers, and foreign tech-talented nomads by creating a vibrant ecosystem that supports digital nomads. Digital nomads worldwide can travel and work remotely across various locations in Malaysia while having access to stable internet connectivity from their Mobile Data Connections to Home Broadband connections and various other facilities and services that support the digital nomad lifestyle. Every Digital Nomad here in Malaysia can access all the facilities that locals can avail.
Latest News: Digital Nomads in Malaysia will get special discounts on Travel, Hoteling, and Communication if they sign up De Rantau Mobile App and Tax will be applied to Digital Nomads same as locals in Malaysia.
How to Apply for the Malaysia Digital Nomad Visa (De Rantau Pass)?
Applying for the Malaysia digital nomad visa is simple and trouble-free since it is entirely done online here.
1. Documents Required for Digital Freelancers and Independent Contractors
Digital freelancers or independent contractors work remotely on a freelance or project basis without being tied to a particular company or location. Candidate must not have any remote job, freelancing project, or contracts in Malaysia. Only those with remote jobs and freelance projects from outside Malaysia will be eligible for this program.
- Copy of Passport: Passport with all pages (must have at least 6 empty pages and at least 14 months validity)
- Latest CV including your recent and past jobs or projects mentioned with responsibilities.
- Bank Statement of the last 3 months and it should be from your bank account.
- Clear criminal history verified through an official background check from your home country’s department.
- Valid project contract with a period of 3 months or more (Contracts from multiple companies will also be accepted)
- Personal bond: This bond is available in the Online Portal and can be signed by MDEC after you fill and submit it.
- Medical insurance enrolment certificate which is valid in Malaysia must also cover dependents.
- Submit your highest education degree or certificates and achievements.
- Register for the Inland Revenue Board of Malaysia tax registration slip which will later needed to track the Taxes on your annual income.
2. Documents Required for Remote Workers
- Copy of Passport: Passport with all pages (must have at least 6 empty pages and at least 14 months validity)
- Latest CV including your recent and past jobs or projects mentioned with responsibilities.
- Bank Statement of the last 3 months and it should be from your bank account.
- Income Statement: Last Three months or Latest Tax returns.
- Payslips: Last Three months’ payslips, or if you don’t have payslips you can use an invoice that you give to your employer for your monthly salary.
- Valid Employment Contract: Should have a valid employment contract period of a minimum of 3 months or more.
- Clear criminal history verified through an official background check from your home country’s department.
- Personal bond: This bond is available in the Online Portal and can be signed by MDEC after you fill and submit it.
- Submit your highest education degree or certificates and achievements.
- Medical insurance enrolment certificate which is valid in Malaysia must also cover dependents.
- Register for the Inland Revenue Board of Malaysia tax registration slip which will later needed to track the Taxes on your annual income.
Malaysia Digital Nomad Tax Law:
The De Rantau Malaysia, Digital Nomad program was started back in October 2023, and MDEC, which is Malaysia Digital Economy Corporation, is the one who initiated this Digital Nomad pass for freelancers and remote workers. At launch, no tax details were given nor published by MDEC. Even still, you cannot see any details directly on their official website, but when you download the FAQs, you will see the details on taxes.
Malaysia is not a free Country. Explaining short here Malaysia’s Tax on Digital Nomads; if you are declaring a certain amount, e.g. 30,000$ per year, which is around 142,020 MYR at the time of applying, then Tax will be used on this amount annually, even though if you are still earning that much amount or not in a past whole year.
If you live for more than 6 months, you are eligible for tax in Malaysia, and if you live for less than 182 days on a Digital Nomad Visa, you don’t need to pay any taxes. Taxes applied to the digital nomads will be the same as those used to locals in Malaysia; there are no separate policies for digital nomads yet.
Below are the tax slabs that can be applicable. You can calculate your income and be ready to pay that much tax before leaving Malaysia.
Essential Checklist for Your Malaysia Digital Nomad Pass Journey
You have to prepare for coming to Malaysia and we have mentioned some of the points below which you should take care of.
- De Rantau Pass will be issued to you once you reach Malaysia; you must take your Passports to the MDEC office in Cyberjaya, Malaysia. Then, they will give you some time and provide the sticker on your passport, the De Rantau Pass.
- If your country requires a visa to enter Malaysia, there is no need to apply for a Tourist or Visit Visa; apply for a professional visit pass directly from the portal, where you must provide the MDEC letter given to you after your De Rantau Pass approval.
- Book the hotel before landing in Malaysia; You should have a valid Credit Card/enough cash for Hotel Booking.
- Apply for a Wise Bank Account or Payoneer before coming to Malaysia because opening a bank account in Malaysia for a digital nomad is not easy. Each bank will allow opening a bank account except the Maybank branch, but they won’t entertain you.
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