Taxation in
Malaysia
Malaysia has a business-friendly tax system with various incentives for entrepreneurs, startups, and foreign investors. Whether you need assistance with corporate tax, SST (Sales & Service Tax), or personal tax compliance, ZABS Legal ensures smooth tax management in line with the Lembaga Hasil Dalam Negeri Malaysia (LHDN) and Malaysian tax laws.
Features
At ZABS Legal, our dedicated team provides expert tax solutions to ensure compliance with Malaysia tax regulations while maximizing deductions. Our key features include:
Process and Duration
The duration for tax filing and compliance in Estonia can vary based on several factors, including your business structure, tax obligations, and filing requirements. However, here’s a general timeline:
Step 1: Tax Registration & Planning
We register your business or individual tax ID and assess tax obligations based on your income and business type.
Step 2: Tax Filing & Compliance
We handle corporate income tax (CIT), SST (Sales & Service Tax), payroll tax (PCB), and personal tax filings with LHDN.
Step 3: Ongoing Tax Advisory & Audit Support
We provide continuous support, tax-saving strategies, and assistance in case of an LHDN tax audit.
Requirements
For Businesses (SDN BHD, LLP, Sole Proprietors, Foreign-Owned Entities):
Business Registration Certificate (SSM)
Company Tax Identification Number (C Number)
SST Registration (if applicable)
Financial Statements & Annual Reports
Payroll Records (if applicable)
Previous Tax Returns (if applicable)
For Individuals (Salaried, Self-Employed, Expats, Digital Nomads):
Malaysian Tax Identification Number (TIN)
Income & Expense Records
Bank Statements & Payslips
Previous Tax Returns (if applicable)
Required Documents & Details
For Businesses (SDN BHD, LLP, Sole Proprietors, Foreign-Owned Entities):
Business Registration Certificate (SSM)
Company Tax Identification Number (C Number)
SST Registration (if applicable)
Financial Statements & Annual Reports
Payroll Records (if applicable)
Previous Tax Returns (if applicable)
For Individuals (Salaried, Self-Employed, Expats, Digital Nomads):
Malaysian Tax Identification Number (TIN)
Income & Expense Records
Bank Statements & Payslips
Previous Tax Returns (if applicable)
Focus on your business
let us focus on the rest
It's time you had a micro-site you that worked for you.
see what our
clients says
What are the corporate tax rates in Malaysia?
The corporate income tax (CIT) rates in Malaysia are:
- 17% on the first MYR 600,000 (for SMEs with revenue below MYR 50 million).
- 24% on profits exceeding MYR 600,000.
Do I need to register for SST in Malaysia?
Businesses must register for Sales & Service Tax (SST) if their annual taxable turnover exceeds MYR 500,000.
How can I reduce my tax liability in Malaysia?
- Claim allowable business expenses (office rent, utilities, marketing).
- Utilize tax incentives & exemptions (Pioneer Status, MSC Malaysia Status).
- Optimize dividend distribution to minimize tax burdens.
What happens if I miss my tax filing deadline?
Late filings result in penalties starting at 10% of the unpaid tax, plus additional interest charges.
Do foreign-owned businesses in Malaysia have tax obligations?
Yes, foreign businesses must comply with corporate income tax, SST, and withholding tax regulations.
Can ZABS Legal assist with LHDN tax audits?
Absolutely! We provide audit defense, tax rectifications, and compliance advisory for businesses facing LHDN audits.