First-Year Compliance Calendar for Sdn Bhd in Malaysia 

Starting a Sdn Bhd company in Malaysia is a major milestone — but incorporation is only the beginning.
 Many new directors face penalties simply because they miss first-year compliance deadlines with LHDN and SSM.

This first-year compliance calendar shows exactly what to file, when to file, and why it matters.

Why First-Year Compliance Is Critical for Sdn Bhd

The first year sets your company’s compliance track record.
 Late or missed filings can result in:

  • Monetary penalties and late payment charges

     

  • Director blacklisting or travel restrictions

     

  • Difficulty opening or maintaining bank facilities

     

  • Issues with investors, grants, licenses, or employment passes

     

📌 Important: A newly incorporated company is not exempt from compliance, even if it is dormant or has no income.

First-Year Sdn Bhd Compliance Calendar (Month-by-Month)

Month 1: Immediately After Incorporation

Key actions

  • Appoint a Company Secretary (mandatory under Companies Act 2016)

     

  • Open company bank account

     

  • Set Financial Year End (FYE)

     

  • Register company tax file with LHDN

     

  • Register EPF, SOCSO & EIS (if hiring employees)

     

📌 Mistake to avoid: Delaying tax registration , LHDN still expects filings even if there is no revenue yet.

Month 2–3: Tax Estimation Setup

LHDN Compliance

  • Submit CP204 (Estimated Tax Payable)

     

  • Deadline: Within 3 months from commencement of business

     

📌 Even if profits are low or zero, CP204 must still be submitted to avoid penalties.

Month 4–6: Operational Compliance

Ongoing obligations

  • Monthly tax instalments (based on CP204)

     

  • Monthly PCB deductions (if employees exist)

     

  • EPF, SOCSO & EIS contributions

     

  • Proper bookkeeping and document retention

     

Employment notification (often overlooked)

  • CP22 – Notification of new employee

     

  • CP22A – Notification of employee resignation or cessation

     

📌 Failure to submit CP22 or CP22A carries a minimum RM200 penalty per case.

📌 Poor bookkeeping in Year 1 is one of the top audit triggers.

Month 6: CP204 Revision Window

Tax Action

  • Revise CP204 using CP204A (if profits change)

     

  • Deadline: 6th month of financial year

     

📌 Underestimating profits can lead to 10% penalty later.

Month 7–12: Preparation Phase

What to prepare

  • Management accounts

     

  • Review tax instalments and cash flow

     

  • Prepare for year-end audit (if applicable)

     

📌 Directors remain personally responsible for compliance, even when accountants or consultants are appointed.

Financial Year End (FYE)

Key milestone

  • Close accounts

     

  • Finalise financial statements

     

  • Begin tax computation

     

📌 Choosing the right FYE can significantly improve cash flow and tax planning efficiency.

Within 7 Months After FYE

Major deadlines

  • File Form C (Company Income Tax Return) with LHDN

     

  • Submit financial statements via SSM MBRS

     

  • Hold Annual General Meeting (if required)

     

📌 This is where most penalties occur due to missed deadlines or incomplete documentation.

Anniversary of Incorporation

SSM requirement

  • File Annual Return with SSM

     

  • Update company details (directors, shareholders, registered address)

     

📌 Failure may result in SSM compounds or company strike-off.

First-Year Compliance Summary Table

Timeline

Authority

Filing / Action

Month 1

SSM / LHDN

Secretary appointment, tax file

Month 3

LHDN

CP204

Month 6

LHDN

CP204A (if applicable)

Monthly

LHDN

Tax instalments

FYE + 7 months

LHDN

Form C

FYE + 7 months

SSM

Financial Statements

Anniversary

SSM

Annual Return

Common First-Year Mistakes to Avoid

❌ Thinking “no income = no filing”
❌ Missing CP204 deadline
❌ No proper bookkeeping
❌ Ignoring SSM filings
❌ Relying solely on accountants without director oversight

Final Advice for New Sdn Bhd Owners

Compliance is not a once-a-year task — it’s a continuous responsibility.
 A well-managed first year:

  • Builds strong compliance records

     

  • Prevents penalties

     

  • Improves investor and bank confidence

     

📞 Need a First-Year Compliance Setup for Your Sdn Bhd?

At iComSec, we help new companies with:

  • First-year compliance calendars

     

  • CP204, CP204A & Form C submissions

     

  • Company secretarial services

     

  • End-to-end SSM & LHDN compliance support

     

👉 Contact iComSec today to keep your Sdn Bhd compliant from Day 1.