With this post-registration stage of set up company in Malaysia , the main focuses will nevertheless be on opening the business account bank, understanding what permits one needs to have in place for their business, enrolling for a provident fund scheme and appointing an auditor and tax agent and understanding your tax obligation.
Given the wide range of benefits and prices offered by many banks, we highly advise to do in-depth research before choosing a certain bank. It is critical to analyze in detail the services each bank provides, comparing its products, advantages, and associated costs so as to determine whether the chosen bank meets your financial requirements. Based on thorough research, you can make a sound decision that fits your needs perfectly and enables convenient banking.
Every company has to select an auditor prior to its first general meeting. For newly incorporated firms, the board of directors should appoint the first auditor at least 30 days before the submission date for their first set of financial reports. Private limited firms do not need annual general meetings.
Sector or industry specific licenses refer to licences that are mandatory in Malaysia for a given sector or industry. These would include the following:
Licenses given by the National Water Service Commission (SPAN), Department of Occupational Safety and Health Malaysia (DOSH) and BLESS, Ministry of Entrepreneur Development (MED).
Private employers under the private sector include SSM-registered Sdn Bhd, other firms registered with SSM, government link companies or investment companies and banks approved by Bank Negara.
If an employee has an i-Akaun account, the latter can also register his or her employees online. This method can be utilized by Malaysian citizens and non-Malaysian lawful permanent residents with both 7-digit and 12-digit identification numbers.
You may also auto-register through the monthly contribution form (Form A). Employees will immediately be enrolled with the EPF once form A, which requires information like the MyKad number and employee’s name, is completed. Only citizens and permanent residents of Malaysia who have MyKad are affected by this.
You will need your MyKad and the KWSP 3 form for permanent residents and Malaysian citizens. Non-Malaysian citizens must present their legitimate work visa/permit or passport, KWSP 3, and KWSP 16B forms.
Assessing your tax obligations in Malaysia is mainly based on the nature of your charges, availability of exemptions and deductions as well as residency. Even though all companies pay a level 24% of tax rate, individuals are subject to progressive tax rates, which can be altered depending on their earnings. Recall that the overseas sales tax rarely applies, unless specific industries such as oil and gas are involved. You should consult a tax specialist who will give you personalized advice based on your specific situation.
Expatriates holding a Category 1 and 2 Employment Pass in Malaysia are allowed to bring along dependent members of immediate family. For those who do not fall into the dependent category, a Malaysia Long Term Social Visit Passs (LTSVP) is often used as an option. This article provides a detailed overview on the objectives of an LTSVP and the procedure to obtain it from Malaysian Immigration Department Expatriates Services Division (ESD).
Note: Spouses of Malaysians are also eligible for the Long-Term Social Visit Pass that has distinct requirements and permissions but this article is focused on expatriates and companies in Malaysia employing them.
An LTVSP is a long-term permit which enables eligible family members of an Employment Pass holders to accompany and live with their principal in Malaysia. The validity of an Malaysia Long Term Social Visit Pass (LTVSP) lies between six months and five years, which allows for a longer period of stay for the dependents vis-a-vis the principal Employment Pass holder. This pass allows family members to stay in Malaysia for a long time, bringing together the family and helping them support expatriates during their work in the country.
The length of an LTVSP meets the term of validity for the primary holder with an Employment Pass. On the other hand, if the passport validity for an Malaysia Long Term Social Visit Pass (LTVSP) applicant is shorter than that of a Principal Employment Visa, then the length of Malaysia Long Term Social Visit Pass (LTSVP) shall be tied to whichever date passes earlier — reflecting on both forms.
While LTVSP renewal may be feasible, it is recommended to keep the passport of an applicant updated so that the stay in Malaysia would continue without interruptions. This makes it possible for the beneficiaries to continue enjoying benefits attached to Malaysia Long Term Social Visit Pass (LTVSP) without hiccups.
In September 2023, the application fee for both a Malaysia Long Term Social Visit Pass (LTVSP) and a Dependent Pass is RM450 without additional charges for Immigration and processing fees. Moreover, holders of both passes are not allowed to work in Malaysia unless they apply for an Employment Pass. There is no extra treatment for an individual with a relation to an already existing Employment Pass holder; each case is considered separately.
Copy of the Employment Pass holder’s Birth Certificate or Translated/Copied English version of the Employment Pass holder’s Spouse Birth Certificate (for Parent and Parent-in-law) certified true copy
Affidavit / Acknowledgement letter from the embassy or consulate general of the employment pass holder on the nature of relationship (for common law spouse).
However, original letter from the Commissioner of Oaths and confirmation letter from relevant Embassy in Malaysia with regard to the their latest status(single, unemployed and under custodian of EP holder) is required for every renewal.
Payroll Services Hong Kong*Note: Translations need to be done either by your Respective Embassy / High Commission / Consulate General or the Malaysian Institute of Translation & Books (ITBM).
The company or sponsor should submit the application for the applicant. To begin this process, go to the ESD portal, login into company’s ESD account (or sign up for one) and submit the application with supportive documents. In the positive case, the process of acceptance is handled in 14-21 business days.
As mentioned above, being priced in the amount of RM450 which doesn’t include immigration and licensing fees per Long-Term Visit pass each Malaysia Long Term Social Visit Pass (LTVSP) is essential. Either an employer or an expatriate, we hope that your application procedure is smooth and you will have a wonderful experience in Malaysia. Consider using our services to improve your application experience!
Discover the comprehensive guide below, unveiling key insights about Sdn Bhd in Malaysia. A Sendirian Berhad (Sdn Bhd) is a distinguished company type in Malaysia, offering private limited status to both Malaysians and foreigners. Delve into the intricacies and explore the possibilities with this informative resource.
SSM is the regulatory body overseeing all corporations operating in Malaysia, including Sdn Bhd. Therefore, companies must register with the Malaysian Companies Commission (SSM) in order to legally operate within the country.
While the company operates as its own legal entity, this allows it to continue without any issues even in cases where founders, directors, or stockholders are not there.
So long as the corporation has not been officially dissolved, it will continue in operation and business activities proceed without disruption by the default of founders or other stockholders, deaths or retirement on part of directors.
So long as the corporation has not been officially dissolved, it will continue in operation and business activities proceed without disruption by the default of founders or other stockholders, deaths or retirement on part of directors.
As such, by being able to participate in asset transfer activities, contract arrangements, and legal cases, an Sdn Bhd company presence the power of acquisition of assets and disposal through purchase or sale, entering into contracts with other entities as well as initiations court cases against the government agencies or individuals.
