Dormant Companies need to submit Tax Returns in Malaysia

This is a summary based on a letter by Inland Revenue Board of Malaysia (IRBM) to affected Professional Bodies in Malaysia on 18 August 2014. Ref: LHDN/01/32/1/193/31/1.

The IRBM confirmed the followings;

1. All dormant companies must file the Income Tax Return Form (ITRF) with effect from the year of assessment (Y/A) 2014. This includes those companies which have not commenced its business as of Y/A 2014.
2. After the companies submit their ITRF for the Y/A 2014, IRBM will review and will issue an instruction whether the ITRF for the dormant company need to be submitted or not for the years prior to Y/A 2014.
This will be done on a "case-to-case" basis.
3. Further to the ITRF, the form CP 204 also required to be submitted by dormant companies with effect from Y/A 2016 if the provisions of Section 107C (4) and Section 107C (4A) of the Income Tax Act 1967 are applicable.