Archives April 2019

NOTICES to WP – PERKESO AND PCB

Dear Valued Client,

Thank you for your engagement as your Company Secretary and Administrator. We trust all exercises went well and everything are all in good ordered.

The above subject refers.

We would like to inform you that there is new regulations implement by our Authorities, whereby all Labuan Companies who is having working permit from the Labuan FSA are required to comply with the regulations as below guided:-

1. To contribute monthly social securities organisation (Socso) of RM49.40 for each person;

The SOCSO has introduce Employment Injury Scheme (EIS) which all foreigners whom had obtained working permit from Labuan or Sdn. Bhd. to pay a monthly contribution of RM49.40 for each person before 15th of the following, as an insurance covers employee in the event of injury during the working hours and may submit claims to the SOCSO.

  • Circular on implementation of EIS

https://www.perkeso.gov.my/images/imej/pekerja_asing/Employers_Circular_No._3_Year_2018.pdf

  • Explanation on Employment Injury Scheme (EIS)

https://www.perkeso.gov.my/index.php/en/social-security-protection/social-security-protection-scheme/employment-injury-scheme

2. To pay monthly tax deduction on the salary receive (ie RM10,000) from the Labuan Company;

The Inland revenue Board Malaysia have extend the requirement to all Labuan incorporated Company to submit monthly tax return for all foreigner whom had draw salary from the Labuan Company (ie working permit holder) to IRB before 15th of the following month. This monthly tax deduction is an advance tax to be paid to IRB and subsequently to refund to the individual if there is any surplus (overpaid tax) during the personal tax filing before 30th April of the following year. which means to say, if the total sum of monthly tax deduction was paid up to IRB at RM25,000 (for example) then by 30th April upon your submission of actual tax return to the IRB and if there is any surplus, the IRB shall return the extra to your personal bank account maintained in Malaysia. The personal tax rate in Malaysia is depend on the tax residency status (ie tax resident – stay more than 182 days or non-tax resident – stay lesser than 182 days) and the tax rate is scale rate (for tax resident) and 28% tax rate (for non-tax resident)

  • Frequent ask questioned prepared by Inland Revenue Board Malaysia

http://lampiran2.hasil.gov.my/pdf/pdfam/FAQ_MTD_Final_Tax_2.pdf

  • Tax rate for Tax Resident

http://www.hasil.gov.my/bt_goindex.php?bt_kump=5&bt_skum=1&bt_posi=2&bt_unit=5000&bt_sequ=11

  • Tax rate for Non Tax Resident

http://www.hasil.gov.my/bt_goindex.php?bt_kump=5&bt_skum=1&bt_posi=2&bt_unit=1&bt_sequ=1

in regard to the above requirement, our Company is providing such service to all our existing client at the preferential rate of USD 200.00 for support up to two (2) persons, and any subsequent person shall be charged at USD 100 each. Our service fee cover the scope of works as following:-

  • To act as liaison with the authorities for the above two subjects;
  • To prepare and calculate the total payable fee to each authority;
  • To prepare pay slip for client;
  • To submit and arrange payment on behalf of the Company to the authorities; and
  • To maintain the filing for future reference.

Should you confirm to engage our services as the above mentioned, we would require you to pay 3 months fee in advance and follow by monthly transfer of payable fee (to be advised after the calculation) to the authorities.

Thank you!

New Guidelines for Labuan Work Permit issued on April 2, 2019

Dear Value Clients,

As the title suggests, the revised guidelines are a change to provide the flexibility to enable Labuan business entities to meet the practical activity requirements in Labuan. The main corrections are as follows:-

1. Exemption of the minimum capital requirement for non-licensed general entities.
2. Streamline the frequency of submitting business plans to non-licensed general entities.
3. Exemption of residence address requirements in Labuan and liberalization of operational requirements.

In addition, the following points can be mentioned as major revisions (Guideline 6.3 C).

Business plan of the entity including 6.3.1

a. Description of the business conducted.
b. Organization chart.
c. Applicant’s Job Description

Ref: Labuan IBFC “GUIDELINES ON WORK PERMIT APPLICATION IN LABUAN IBFC

The business plan must be submitted to Labuan FSA upon the initial work permit application made to the authorities. For subsequent work permit renewals, submission of a business plan is required only if there has been a change in the plan.

The revised guidelines are good news for labuan work permit holders.

The above is the main point, thank you.

Business Launch Notice

Today, April 1, 2019, Bona Trust Corporation is officially started operation as a Labuan Trust Company.

We are responsible for the setting up of Labuan Company and Foundation, we playing the role and responsibility as Company Secretary, we are engaged in business support for Labuan entity, management consulting, business succession support, and etc.

Our company name “Bona” origin came from “bona fide“, which means honesty (‘with good faith’).
We sincerely hope to work together with our clients at all times and to resolve client’s problems.

Thank you.