Dashboard
Taxation
← Back to Knowledge Hub
AI Executive Summary
Preferential 15% corporate tax rates for Malaysian SMEs with paid-up capital under RM2.5M, CP204 estimation requirements, and Form C lodgement timelines.
Tiered SME Corporate Tax Rates in Malaysia
Malaysian resident companies (Sdn Bhd) with paid-up ordinary share capital of RM2.5 million or less, and gross business income not exceeding RM50 million, enjoy preferential corporate income tax rates:
- First RM 150,000 of Chargeable Income: Taxed at 15%.
- RM 150,001 to RM 600,000: Taxed at 17%.
- Exceeding RM 600,000: Taxed at the standard corporate rate of 24%.
Statutory Filing Timelines & CP204
- CP204 Tax Estimate: Must be submitted at least 30 days before the beginning of the financial year. Tax installments are payable on the 15th of every month.
- Form C Lodgement: Annual corporate income tax return (Form C) must be lodged electronically via e-Filing within 7 months from the close of the financial accounting period (with a 1-month grace period for e-filing).
- Audit Requirement: Audited financial statements must be signed off by a licensed Malaysian auditor before final submission to LHDN and SSM.