Labuan

Labuan

Labuan

Location

One of the outside islands of Malaysia.

Economy

A federal territory in East Malaysia. Famous tourism area in South Asia.

Language

Malay and English

Legal System

Common Law
Labuan Company
Type Limited Company
Name End with  “Ltd.”, “Corp.”, “Inc.”, “Bhd”, “S.A.”, “N.V.”, “B.V.”, “GmbH” or “A.G.”.
Capital No requirement.
Share Prohibited to issue no value or bearer shares.
Share Index Yes
Registered Agent Yes
Registered Address Yes
Public Disclosure No
Min. Shareholder At least one
Min. Director At least one 
Disclosure of Shareholder No
Disclosure of Director No
Trading restriction No
Taxation  Income tax rate 3% or a Fixed taxation paid of MYR 20, 000 every year.
Financial Statement Yes
Tax Returns Yes
Account Filing Yes
Audit Report Yes
Accounting Yes
Incorporation Cost USD 3,000
Annual Fee USD 2,900



 Tax Rate: %
*Footnote
Domestic Withholding Tax Rates for Labuan
Dividends: 0
Interest: 15
Royalties: 10 *

Treaty Partner Ownership Dividends * Interest Royalties
Albania -     0     10     10    
Australia -     0     15     10 *
Austria -     0     15     10 *
Bahrain -     0     5     8/10 *
Bangladesh -     0     15     0/10 *
Belgium * -     0 * 10/D * D *
Brunei -     0 * 10 * 10 *
Canada -     0     15     0/10 *
Chile -     0     15     10    
China -     0     10     10 *
Croatia -     0     10     10    
Czech Republic -     0     12     0/10 *
Denmark -     0     D * 10    
Egypt -     0     15     10 *
Fiji -     0     15     10 *
Finland -     0     0/15 * 0/10 *
France -     0     15     0/10/D *
Germany -     0 * 10 * 7 *
Hungary -     0     15     10 *
India * -     0 * 10 * 10 *
Indonesia -     0 * 10 * 10 *
Iran -     0     15     10    
Ireland -     0     10     8    
Italy -     0     0/15 * 0/10 *
Japan -     0     10     10    
Jordan -     0     15     10 *
Kazakhstan -     0 * 10     10    
Korea (R.O.K.) * -     0 * 0/15 * 0/10 *
Kuwait -     0     10     10 *
Kyrgyzstan -     0     10     10    
Laos -     0 * 10 * 10 *
Lebanon -     0     10     8    
Luxembourg -     0     0/10 * 8    
Malta -     0     15     10 *
Mauritius -     0     15     10 *
Mongolia -     0     10     10    
Morocco -     0     10     10    
Myanmar -     0     10     10    
Namibia -     0     10     5    
Netherlands -     0     0/10 * 0/8 *
New Zealand -     0     15     0/10 *
Norway -     0     D * 0/D *
Pakistan -     0     15     0/10 *
Papua New Guinea -     0     15     10    
Philippines -     0     0/15 * 0/10 *
Poland -     0     0/15 * 0/10/D *
Qatar -     0     5     8    
Romania -     0     0/15 * 0/10 *
Russia -     0     15 * 10 *
San Marino -     0 * 10 * 10 *
Saudi Arabia -     0     5     8    
Seychelles -     0     10     10    
Singapore -     0     10     5/8 *
South Africa -     0     10     5    
Spain -     0     10     5/7 *
Sri Lanka -     0     10     10    
Sudan -     0     10     10    
Sweden -     0     10     8    
Switzerland -     0     10     0/10 *
Syria -     0     10     10 *
Taiwan -     0     10     7.5/10 *
Thailand -     0     15     0/10 *
Turkey -     0     15     10    
Turkmenistan -     0     10     10    
United Arab Emirates -     0     5     10    
United Kingdom -     0     10     8    
Uzbekistan -     0     10     10    
Venezuela -     0     15     10    
Vietnam -     0     10     10    
Zimbabwe -     0     10     10    
Note 1:Malaysia does not levy withholding tax on dividends.
Note 2: A 10% rate applies to royalties generally. The 10% rate also applies to payments for services rendered in Malaysia where the nonresident does not have a PE in Malaysia; if the nonresident has a PE, the rate is 10% + 3%.
Start Print