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

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.