A Sdn Bhd that has stopped business, has no assets or liabilities, owes no tax and has paid no dividends can apply to the Companies Commission of Malaysia (SSM) to be struck off under section 550 of the Companies Act 2016. If it has traded, it first needs LHDN’s tax clearance letter. It files on…
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Setting Up the Malaysian Subsidiary of a Singapore Company: The Malaysia-Side Checklist (2026)
A Singapore company can own a Malaysian Sdn. Bhd. that employs its team, but the Malaysian side has its own checklist. The subsidiary needs a resident director and an SSM-registered company secretary, files an annual return within 30 days of each incorporation anniversary, withholds 10% (5% under the treaty) on fees paid to Singapore for…
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Opening a Corporate Bank Account in Malaysia in 2026: Documents, Timelines and KYC
To open a corporate bank account in Malaysia, a Sdn Bhd gives the bank its SSM registration documents and company profile, its constitution if it has one, a board resolution naming the signatories, identity documents for directors and signatories, and details of its beneficial owners, at minimum anyone with more than 25% of the equity.…
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Malaysia Withholding Tax in 2026: Rates, Deadlines and Penalties on Payments to Non-Residents
Malaysian payers must withhold tax from certain payments to non-residents and pay it to the Inland Revenue Board within one month of paying or crediting. In 2026 the standard rates are 15% on interest, 10% on royalties, 10% on special classes of income such as technical services performed in Malaysia and movable-property rental, 10% plus…
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Sdn Bhd Annual Compliance in Malaysia: SSM, Audit and Tax Deadlines for 2026
A Malaysian Sdn Bhd lodges its annual return with SSM within 30 days of each incorporation anniversary (RM150) and circulates financial statements within six months of year end, lodging them within 30 days of circulation. With LHDN it files Form e-C within seven months of year end, pays CP204 instalments by the 15th monthly and…
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Foreign-Owned Companies in Malaysia: Ownership Rules, Paid-Up Capital and Licences in 2026
Foreigners can own 100% of a Malaysian Sdn Bhd in most manufacturing and services activities, and the Companies Act 2016 sets no general minimum capital. The thresholds come from licensing. A wholly foreign-owned company needs RM500,000 paid-up capital to hire on Employment Passes through the Immigration Department’s Expatriate Services Division, or RM1 million if it…
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Malaysia Corporate Tax Rates for SMEs in 2026: The 15%, 17% and 24% Bands Explained
For years of assessment 2025 and 2026, Malaysian companies pay corporate income tax at 24%. A qualifying SME pays 15% on its first RM150,000 of chargeable income, 17% on the next RM450,000 and 24% above RM600,000. To qualify, the company must be incorporated and resident in Malaysia, have paid-up ordinary share capital of RM2.5 million…
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Company Secretary Requirements in Malaysia: Who Qualifies Under the Companies Act 2016 in 2026
Every Malaysian company must have a company secretary, and the board must appoint the first within 30 days of incorporation under section 236 of the Companies Act 2016. Under section 235 the secretary must be a natural person aged 18 or over, a Malaysian citizen or permanent resident who ordinarily resides in Malaysia, and hold…
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Labuan Company vs Sdn Bhd: Which Structure Fits Your Malaysia Plans in 2026?
A Labuan company suits international trading, holding and financial businesses that can run a real office in Labuan. Under the Labuan Business Activity Tax Act it pays 3% of audited net profits on trading and no tax on investment holding, but only if it meets minimum staffing and spending rules; otherwise it pays 24%. A…
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How to Register a Sdn Bhd in Malaysia: Steps, Fees and Timeline for 2026
To register a Sdn Bhd in Malaysia, apply to the Companies Commission of Malaysia (SSM) through its Corporate Registry System (CRS), which replaced MyCoID on 14 July 2026. Pay the RM1,000 incorporation fee (plus RM50 if you reserve a name first), and have at least one shareholder and one director who ordinarily resides in Malaysia.…
