Audit & Tax Compliance for Malaysian Sdn Bhd Companies
Together with our recommended auditor & tax agent, we support you every year with your financial and statutory audit as well as your tax filing. We ensure both auditor and yourself are aware of upcoming deadlines and liaison directly with them on your behalf.
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Does My Company Really Need an Audit?
Understanding Malaysia's audit requirements and exemption criteria is crucial for compliance. Most Sdn Bhd companies require an annual audit, but recent changes may affect your company.
Understanding Audit Requirements
Under the Companies Act 2016, most private limited companies (Sdn. Bhd.) in Malaysia are required to have their financial statements audited annually. However, the Companies Commission of Malaysia (SSM) has established audit exemption criteria for certain qualifying companies.
New Audit Exemption Thresholds (2025-2027)
SSM has introduced a phased approach to audit exemptions, significantly raising the thresholds. To qualify for exemption, your company must meet at least two of the following criteria for two consecutive financial years:
| Criteria | Phase 1 (2025) |
Phase 2 (2026) |
Phase 3 (2027+) |
|---|---|---|---|
| Annual Turnover | ≤ RM1,000,000 | ≤ RM2,000,000 | ≤ RM3,000,000 |
| Total Assets | ≤ RM1,000,000 | ≤ RM2,000,000 | ≤ RM3,000,000 |
| No. of Employees* | ≤ 10 | ≤ 20 | ≤ 30 |
*Full-time employees only, excluding directors and shareholders. Qualification is based on the financial statements of the two preceding financial years.
Companies Not Eligible for Audit Exemption
- Exempt Private Companies (EPC) that have opted to lodge a certificate under Section 260
- Private companies that are subsidiaries of public companies
- Foreign companies operating in Malaysia
Important Note: Even if your company qualifies for audit exemption, you may still choose to undergo a voluntary audit. This can be beneficial when applying for bank loans, securing business partnerships, or attracting investors, as audited financial statements provide greater credibility and transparency.
Comprehensive Audit & Tax Services
We work with licensed auditors and tax agents to provide you with professional, compliant, and timely services.
Audit Services
Meet your statutory audit requirements with our professional audit services. We work with licensed auditors registered with the Malaysian Institute of Accountants (MIA) to ensure your company's financial statements are properly audited and compliant.
- Annual statutory audit and financial statement audit
- Compliance audit and regulatory reporting
- Audit coordination and management
- Liaison with auditors on your behalf
- Deadline reminders and compliance tracking
- Management letter review and recommendations
Taxation Services
Stay compliant with Malaysian tax regulations. Our partner tax agents handle all aspects of corporate tax filing and ensure you take advantage of all available deductions, allowances, and incentives.
- Corporate tax filing (Form C) and income tax computation
- Estimated tax payable (Form CP204) submission and revisions
- Tax planning and optimization strategies
- Tax advisory and consultation services
- Tax incentive applications (Pioneer status, Investment Tax Allowance, etc.)
- Liaison with LHDN (Inland Revenue Board)
- Tax clearance and tax credit refund applications
Additional Tax Services Available
Personal Income Tax
- Form B (Personal tax with business income)
- Form BE (Personal tax with employment income)
- Form P (Partnership)
- Form M (Non-resident personal tax)
Other Services
- Form EA & Form E preparation
- Tax credit set-off and refund
- Real Property Gain Tax (RPGT) advisory
- Withholding tax planning & advisory
Beyond Compliance: The Strategic Value of Professional Audit & Tax Services
Meeting legal requirements is essential, but professional audit and tax services offer strategic value that goes far beyond compliance.
Boosts Credibility with Banks & Investors
When you apply for a business loan or seek investment, audited financial statements provide independent verification of your company's financial health, making you a much more credible and attractive candidate for financing and partnerships.
Uncovers Internal Weaknesses & Risks
Professional auditors provide an external perspective that can identify weaknesses in your internal controls, inefficiencies in your bookkeeping, or potential risks for fraud that you might have overlooked.
Reliable Data for Strategic Decisions
An audit ensures that the financial figures you rely on for budgeting, forecasting, and strategic planning are reliable, accurate, and a true reflection of your performance.
Never Miss a Deadline
Our automated reminder system ensures you're always aware of upcoming audit and tax deadlines. We coordinate directly with auditors and tax agents to keep everything on track.
Tax Optimization & Savings
Expert tax planning helps you legally minimize your tax liability through proper use of deductions, allowances, and incentives available under Malaysian tax law.
Seamless Coordination
We act as your liaison with auditors and tax agents, ensuring smooth communication, timely submissions, and that all parties are aligned on deadlines and requirements.
How Our Audit & Tax Services Work
We simplify the process by coordinating with licensed professionals on your behalf, ensuring everything runs smoothly.
Connect with Our Partner Auditor & Tax Agent
As a company secretary and accounting firm, we cannot audit our own clients. We work with trusted, licensed auditors and tax agents who are registered with MIA and LHDN. We'll introduce you to our recommended partners and facilitate the initial setup.
We Coordinate Throughout the Year
We maintain regular communication with both the auditor and tax agent on your behalf. We ensure they have access to your financial records (prepared by our accounting team), coordinate deadlines, and keep you informed of all upcoming requirements and submissions.
Timely Reminders & Deadline Management
Our system sends automated reminders for all audit and tax deadlines, including Form CP204 submissions, tax estimate revisions, annual tax returns, and audit report submissions. We ensure nothing falls through the cracks.
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What these startup founders have to say about Foundingbird
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Jordan Richards
Founder & CEO at I Blow The Whistle Sdn Bhd
Foundingbird has been there since day one for me. They are professional, understanding and very friendly. I have had nothing but a wonderful experience with them and highly recommend them
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Donald Ng
Founder of Mida.so
As a tech startup founder, I've been genuinely impressed by their tech-focused approach to company secretarial tasks in Malaysia. Their user-friendly online platform has made my business journey smoother, and their attentive team ensures I can focus on growth without any hassle on the compliance side.
5 star on Google
Chai Chiah Leung
Lemon Solutions Sdn Bhd
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10/10 would recommend!
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5 star on Google
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Hijauan Wellness Sdn Bhd
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CEO at Avintec Asia Sdn Bhd
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I feel lucky finding them and highly recommend their services.
5 star on Google
Frequently Asked Questions
About our audit and tax services
Does my company need an audit?
Most Sdn Bhd companies in Malaysia are required to have an annual audit under the Companies Act 2016. However, certain companies may qualify for audit exemption if they meet specific criteria (annual turnover, total assets, and number of employees thresholds). The qualification is based on the financial statements of the two preceding financial years. We can help you determine if your company qualifies for exemption.
What are the new audit exemption thresholds?
SSM has introduced a phased approach with increasing thresholds:
- Phase 1 (2025): Turnover ≤ RM1M, Assets ≤ RM1M, Employees ≤ 10
- Phase 2 (2026): Turnover ≤ RM2M, Assets ≤ RM2M, Employees ≤ 20
- Phase 3 (2027+): Turnover ≤ RM3M, Assets ≤ RM3M, Employees ≤ 30
Your company must meet at least two of these criteria for two consecutive years to qualify.
Should I still get an audit even if I'm exempt?
While you may be exempt from mandatory audits, voluntary audits can be beneficial. Audited financial statements enhance credibility when applying for bank loans, securing business partnerships, or attracting investors. The cost difference between filing audit-exempted financial statements and an audit report is often minimal, making audits a worthwhile investment for growing businesses.
Why does Foundingbird work with partner auditors?
As a company secretary and accounting firm, we are legally not allowed to audit our own clients. This is a regulatory requirement to maintain independence and objectivity. We work with trusted, licensed auditors registered with the Malaysian Institute of Accountants (MIA) to ensure professional, compliant audit services for our clients.
Still have questions? Get in touch with our team
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Let us coordinate with licensed professionals to handle your audit and tax requirements. Never miss a deadline again.