The best tax filing practices start with the right tax planning in Malaysia.  Although you can find numerous resources such as an article about tax planning in search engines such as Google, professional assistance is indispensable. An accounting services firm such as Accounting Services Hub offer expert help for companies that want to navigate their way through business expenditures and enjoy tax exemption and refund.

Tax Planning Overview

By definition, tax planning is a skillful exercise or practice that helps entrepreneurs and business owners create and implement sets of strategy that could help them reduce or avoid tax liability. It is imperative to have the best tax planning strategies implemented in your company platform as an integral part of your business. There are various things you first need to know about corporate taxation as a Malaysian tax resident. Here are some of the primary things you need to know about company taxes in the country:

  • A company is considered tax resident in Malaysia in case the management and control of the business is exercised in the country’s jurisdiction;
  • Under the taxation laws, resident as well as non-resident corporations are subject to 25% income tax as imposed on the company’s taxable income;
  • Companies are liable to comply with payment of the withholding tax on payments made to non-Malaysian residents. These include royalties, interest, lease rentals, contract, and other services and technical fees.

How to Reduce or Defer Your Tax Burdens ?

Here are some areas where you can strategize for tax refund, relief, and exemption for your company:

  • Year End Tax Planning – You can look into your budget and capital expenditure to allocate your capital allowance in the current year instead of the following year in order to obtain the cash flow benefit earlier. You can also monitor the timing of your year-end sales such that year-end sales could be deferred and posted in the following year instead of realizing it in December of the current year; in this way, the sales will only be taxed in the next assessment year.
  • Trading Stocks – Stocks in trade are not allowed as tax deductions. However, you can dispose, sell or transfer stocks for valuable consideration which in turn could achieve tax efficiency.

There are many other useful strategies and techniques you can get with the right accounting and taxation services company to benefit from more tax saving gains.

Why Do You Need an Accounting & Taxation Services Firm ?

Corporate tax planning is quite difficult to understand and implement, thus you need a reliable and expert tax agent to explain everything to you. On top of planning for your yearly income taxes, you could also apply tax planning strategies for Goods and Services Tax (GST), withholding tax, partnership tax, real property tax, import duty tax and other indirect taxes. Overall, the process of filing and paying your taxes for your company can be s a tedious task. The right professionals will be able to help you achieve your goals to comply with your tax obligations, particularly in filing and paying your taxes, while minimizing your tax liabilities.

You cannot skip nor evade taxes. However, if you want to lessen your tax burdens, you may engage Accounting Services Hub for effective and professional tax planning services. Hiring the right professionals is definitely better than buying a book about taxation techniques or any other print materials available today.

CONTACT US TODAY & ENGAGE US AS YOUR TAX AGENT NOW! !