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.