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Labuan Company Formation

Updated:2018-4-3 16:08:15    Source:www.tannet-group.comViews:1367

Labuan company formation is a hot choice for foreign investors to setup and extend business overseas. Up Labuan Island, the company said Minna Fujian coast of East Malaysia is located in an island. Located at the hub of the island, with Singapore, Hong Kong and Tokyo coexistence at the same time zone, making it a very convenient area, Georgia tax havens.

The Government of Malaysia in April 16, 1984 announced Labuan as a federal region. Today, it is an international offshore financial center. The issuance of the Companies Act and the establishment of offshore Labuan Offshore Business Activity legislation in 1990 ensured that Labuan offshore companies enjoy a professional and quite flexible corporate structure. The legal system is adopted English law.

Company Name
Company name can have English and Chinese name as well. Company name ended with “Ltd”, “Co. Ltd”, “LLC”, Labuan Ltd”, “Incorp.”, “Inc”.

Application Requirement
Labuan Company required at least one shareholder and one director. Shareholder can be the director at the same time. There is no national limit. Required residents Labuan Company as company Secretary and registered address. Tannet Malaysia could provide on this service.

Authorized Capital
The minimal authorized capital for Labuan Company is USD 15000. There is no minimal requirement for paid up capital.

Tax System in Labuan
1) In order to profit from lessons of the business tax of 3%.
2) Regardless of the amount of turnover, profits and annual payment of RM 20,000 (USD 5200, HK 4.1 trillion). These two kinds of calculation are freedom to choose their own tax status of a filling, no matter what one of the two. The maximum tax amount is the highest amount of twenty thousand ringgit.

Benefits of Setting Up a Labuan Company
1. 100% Ownership and Control by Foreigners will totally own the Malaysian business;
2. Minimum one director;
3. Minimum of one shareholder. A director and shareholder can be the same or a different person;
4. Business Nature: None Trading. Your Labuan Company will pay zero corporate tax;
5. Director Fee - Foreigners will declare income as director fee / dividend and pay zero income tax;
6. Labuan Legislation - the law is stable and will remain unchanged for many years;
7. You are protected in avoidance of Double Taxation Agreements (DTAs).

Contact Us
If you have further inquires, please do not hesitate to contact Tannet at anytime, anywhere by simply visiting Tannet’s website, or calling Hong Kong hotline at 852-27826888 or China hotline at 86-755-82143512, or emailing to You are also welcome to visit our office situated in 16/F, Taiyangdao Bldg 2020, Dongmen Rd South, Luohu, Shenzhen, China.

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