Statutory Compliance Requirements of a Sdn Bhd
1.1 General Compliance
|1. Preparation of Financial Statements
|Directors of every company shall prepare financial statements within 18 months of incorporation and subsequently, 6 months of financial year end.||Companies Act 2016 Section 248|
|2. Circulation of Financial Statements
A copy of financial statements for each financial year must be send to every member of company, every person entitled to receive notice of general meetings, every auditor of company and every debenture holder of company on request being made.
|Within 6 months of financial year end.||Companies Act 2016 Section 257 and Section 258|
|3. Lodgment of Financial Statements and Reports with SSM via XBRL format.
|Within 30 days from the date of circulation of financial statements and reports.||Companies Act 2016 Section 259|
|4. Any changes of particulars of director, manager and secretary
5. Any changes to the business address and/or nature of business
6. Any changes related to shares, debentures, participatory interest, rights, options and contracts in the company or in related corporation.
|Within 14 days from the date of change/occurrence of such event.||Companies Act 2016 Section 58; SSM Practice Directive 2/2017; Companies Act 2016 Section 219|
2.2 Obligations as an employer
|1. Register with the Employee Provident Fund (EPF) Board||Within 7 days of employment of the first employee in the company.||www.kwsp.gov.my|
|2. Register with the Social Security Organisation (SOCSO)||Within 30 days of the date on which the Employees Social Security Act (ESSA) becomes applicable to the company.||www.perkeso.gov.my|
|3. Register Employee Tax File (E number) with Inland Revenue Board (IRB)||Any time before payment of salaries to employees.||www.hasil.gov.my|
|4. Register with the Employment Insurance Scheme (EIS)||As soon as possible.||www.perkeso.gov.my|
|5. Mandatory Employee Provident Fund (EPF) contribution.||Not later than 15th of the following month.||www.kwsp.gov.my|
|6. SOCSO and EIS contribution||Not later than 15th of the following month.||www.perkeso.gov.my|
|7. Monthly Tax Deduction (MTD)
Form e-CP39 is available, specifically for employer who did not have a computerized payroll system.
|Not later than 15th of the following month||http://www.hasil.gov.my/bt_goindex.php?bt_kump=2&bt_skum=4&bt_posi=1&bt_unit=16&bt_sequ=1
|8. Human Resource Development (HRD) levy||Not later than 15th of the month in which the payment falls due.||https://www.hrdf.com.my/knowledge-base/when-to-make-payment-for-hrd-levy/
3.3 Obligations under Income Tax Act
|1. Notify Inland Revenue Board (IRB) to obtain Company Tax Registration Number (C Number)||Any time before first filing of tax return.||http://www.hasil.org.my/bt_goindex.php?bt_kump=5&bt_skum=3&bt_posi=1&bt_unit=1&bt_sequ=1&bt_lgv=2
|2. Tax Instalment Payment CP204||· The estimated tax payable has to be paid in equal monthly instalments beginning from the second month of the basis period for a year of assessment.
· For new companies, instalment payments must commence in the 6th month of the basis period for the year of assessment.
· A company is required to pay the instalment of the estimated tax by the 15th day of each month.
|3. Balance of Tax Payment
When a company has determined its actual tax payable, balance of tax which is the actual tax payable after deducting total instalments on the tax estimate.
|· Pay within 7 months from the close of accounting period.||http://www.hasil.gov.my/bt_goindex.php?bt_kump=5&bt_skum=2&bt_posi=2&bt_unit=1&bt_sequ=1&bt_lgv=2
|4. Form E submission||Not later than 31st March of the following year.||Income Tax Act 1967 Section 83(1)|
|5. Form EA distribution||Before last day of February every year.||Income Tax Act 1967 Section 83(1A)|
|6. Form CP22 submission
Notify the new commencement of employee
|Within 1 month from the date of commencement||Income Tax Act 1967 Section 83(2)|
|7. Form CP22A/CP22B
Notify the cessation of employment
|Not less than 1 month before the cessation date||Income Tax Act 1967 Section 83(3)|
|8. Form CP21
Notify on employee leaving Malaysia
|Not less than 1 month before the expected date of departure||Income Tax Act 1967 Section 83(4)|
|9. Form C submission||Within 7 months from the date following the close of the accounting period which constitutes the basis period for the year of assessment.||http://phl.hasil.gov.my/pdf/pdfam/ProgramMemfailBN_2021_2.pdf
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