Company Registration

Basic company registration forms

Following are some of the basic registration forms for incorporating a company in Malaysia. Whilst your Company Secretary would handle its submission, you would have to be aware of its details and your obligations.

Form 9 - Certificate of Incorporation of Private Company
Form 24 - Return of Allotment of Shares
Form 44 - Notice of Situation of registered Office and Office Hours and particulars of Change
Form 49 - Returns giving particulars in register of directors, managers and secretaries and changes of particulars

Requirements of a Locally Incorporated Company A locally incorporated company should comply with some standard requirements. Make sure your company: Has a registered office in Malaysia, where all books and documents required under the provisions of the Act are kept. Does not hold shares in its holding company. Has at least two directors who reside in Malaysia. The director does not have to be a shareholder. Your Company Secretary should be resident in Malaysia. Your Company Auditor should also be resident and operating in Malaysia.

Government incentives

The Government offers a number of incentives for companies involved in high technology, information and communication technology (ICT) and for the Multimedia Super Corridor (MSC).

Incentives for High Technology companies

These are defined as companies that are involved in promoting activities or products in areas of new or emerging technologies. They are eligible for:

	Pioneer Status with full tax exemption for a period of 5 years and
	Investment tax allowance of 60% on qualifying capital expenditure incurred within a 5-year period.

Incentives for ICT

Incentive for software development - Companies that develop both original and/or undertake to modify existing software are eligible to apply for Pioneer Status.

Incentives for the use of Information Technology (IT) - Computers and IT assets are given an initial allowance of 20% and an annual allowance of 40%. Other incentives include single deduction on operating expenditure, purchase of new computers and contributions in cash or kind for ICT projects at community level.

Incentives for MSC

Companies with MSC Status are allowed to operate tax-free for 10 years or enjoy a 100% investment tax allowance, apart from other benefits and incentives backed by the Malaysian Government's Bill of Guarantees.

More information at: www.mida.gov.my