The interest of businessmen on the Southeast Asian countries, particularly to Malaysia, is constantly increasing. It is among the top twenty jurisdictions in terms of ease of doing business (according to the DoingBusiness rating). The country has a low level of unemployment and inflation. This is one of the most promising states in the region, and more and more businessmen want to carry out their activities in it. It can be even said that Malaysia is an offshore country or rather that it has such areas. There is a well-known local low-tax center – Labuan, where you can trade duty-free and not pay turnover taxes, excises, and export and import fees.
The following income of Malaysian residents or foreign beneficiaries is tax-free:
The main industries developed by the country are rubber production, tourism, electronics, oil refining, and agriculture. In general, Malaysia has low taxes – the corporate rate is 24% for local companies, dividends of non-residents are tax-free. To reduce the fiscal load, you can hire a citizen of the country as a company head. In this case, taxes will be somewhat lower – this rule also applies to the joint management (one person is a resident, other board members are non-residents).
The procedure of registration of a company in Malaysia and it specifics depend on the form of incorporation. The following structures are allowed in the country:
To start a commercial or tourist business, you need a license. If a shareholder holds the position of director, he/she shall be at least 18 years old.
The process of setting up a company in Malaysia consists of several stages. It is necessary to secure a business name by sending a name approval request and paying for the service. Then, not later than one month after the approval of the name, the following documents shall be submitted to the registering authority (SSM):
The documents shall be filled out in English or Malaysian and submitted within 3 months from the date of approval of the name. After submitting the package (this can be done using ‘one-stop shop’ services), the papers will be verified and, if successful, the founders will get the Certificate of Registration.
To make all the registration procedures easier in Malaysia, be sure everything is done in an appropriate manner, get rid of challenges and save time, contact Prifinance experts for support.