Company Tax

Updated: May 22

Tax Rate of Company

Year Assessment 2020:

- Company with paid up capital not more than RM2.5 million

On first RM600,000 17%

Subsequent Balance 24%

- Company with paid up capital more than RM2.5 million 24%


Under the single-tier tax system, corporate income is taxed at corporate level and this is a final tax. Companies may declare single tier exempt dividend that would be exempt from tax in the hands of their shareholders.

Single tier tax system

Tax paid by a company is a final tax

No tax is being deducted from dividend paid, credited or distributed to shareholders

Dividends are exempt in the hands of shareholders

If you have any enquiries or need clarification, please contact Bestar.

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