CP58 is an income statement that shows all incomes in the form of monetary and non-monetary incentives. Examples of monetary incentives are allowances and bonuses. While examples of non-monetary incentives are houses, cars, flight tickets.
 
A company that pays over RM5,000 per year in cash or non-monetary incentives to agents, distributors, or dealers must prepare Form CP58 for them. This requirement also applies to foreign companies and branch that operate in Malaysia but excluding individuals running a business or under a partnership. 
The only situation where a company has to prepare Form CP58 for incentives under RM5,000 is when the payee requests it. 
 
The company needs to keep a proper hand-over record. They must send the Form CP58 through registered postage or email. The company does not need to submit Form CP58 to IRBM, but if the tax office requests so, then the payer company must provide all incentive data. 
 
The payer company must keep the original copy of Form CP58 for seven years from the end of the calendar year in which they paid incentives to agents, distributors or dealers. The reason is for IRBM's reference and examination during a tax audit. 
The payer company should send a copy of Form CP58 to agents, distributors, or dealers