Question: What is Labuan Company Malaysia?

A Labuan company is a company incorporated or registered under the Labuan Companies Act 1990 (LCA 1990). Residents and non-residents of Malaysia are allowed to establish Labuan companies. … company limited by guarantee. an unlimited company.

Is Labuan company a Malaysian company?

Labuan Jurisdiction is a “midshore”, hence all Labuan companies are allowed to deal with Malaysians with 3% corporate tax. The most common business such as import, export, trading, consultancy does not require any trade licenses.


Company Labuan Company Malaysian Sdn Bhd
Capital Monies To Show in the Bank Yes Yes

Why do companies incorporate in Labuan?

As one of the few offshore financial centres in Asia, and boasting a low tax regime, Labuan provides an attractive base for many multinational corporations and entrepreneurs. Labuan is economically strong and politically stable. …

Can Malaysian invest in Labuan?

Offshore company benefits in Malaysia

Labuan is an independent state with its own laws. But, Labuan is still protected by Malaysia’s sovereignty. Has no tax policies for any foreign company which draws investment into the region. Corporate tax rates as low as 3%.

Can Malaysian Open Labuan company?

Yes Malaysian and NON Malaysian can incorporate Labuan Company.

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Is Labuan a tax haven?

Labuan is considered an tax haven due to its favorable tax structures for nonresidents and has become one of the preferred jurisdictions in Asia for offshore company formation since the Malaysian government made it into an international offshore financial centre with the passing of legislation in 1989.

How much does it cost to set up a Labuan company?


Different Labuan entity types Cost Draft invoice
Offshore company US$12,000 View invoice PDF
Labuan Forex LLC US$30,025 View invoice PDF
Labuan Securities LLC US$20,150 View invoice PDF
Labuan with Malaysia visa US$16,250 View invoice PDF

Why offshore market is important?

By going offshore, companies and wealthy individuals could avoid onshore securities and exchange control laws. Banks operating from tax havens could also make savings by avoiding the need to maintain reserve ratios. The lower regulatory requirements resulted in less staff and further savings in operating costs.

Why do offshore companies benefit?

A few of the benefits of an offshore company include low tax, location of your business, confidentiality, minimal accounting, auditing, property ownership, asset and lawsuit protection.

Can foreigners buy property in Labuan?

Foreign investors can build or acquire property to house tourists visiting Labuan Bajo. You can open a hostel or guesthouse in Labuan Bajo. Renting out rooms or villas through Airbnb is also an option as long as you register your business.

What is a foreign Labuan company?

A foreign company shall not have a place of business in Labuan or carry on business in Labuan unless it is registered as a foreign Labuan company (“Labuan Branch”) under the Labuan Companies Act 1990 (“LCA”). This write-up does not apply to a foreign company registered under the Malaysian Companies Act 2016.

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How do I register my business in Labuan?

The application for incorporation of a company must be accompanied by the following documents and payments:

  1. Memorandum and Articles of Association of the proposed company.
  2. statutory declaration of compliance by the trust company.
  3. consent to act as a director(s)
  4. individual forms filled up by each director; and.
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