Any occupants or non-residents of Malaysia or even a foreigner are allowed to establish Labuan businesses. To experience the process, an individual must meet certain standards and those include; the need to attend a minumum of one of the directors, owning a minimum of one shareholder, needs to appoint a certified Labuan Trust Company that functions as the resident secretary.
A business can derive the benefit of tax exemption in Labuan if payment of these dividends is by a Labuan entity to residents or non-residents. Malaysia adopts one tire volatility tax system, and therefore the tax is payable one time in the company level. All fees paid to a foreign Director are 100% exempted from the charge, and the exemptions are legitimate if the supply is carried out with a Labuan base as well as beneficiaries.
Labuan Trust Company does not call for much documentation as other offshore jurisdiction and based on the specific situation the requirements include passport as well as the utility bill to proof home resident and both has to be certified copy by the commissioner of Oath, Notary Public or Embassy. The requirement also includes the newest signed CV and resume detailing the education background and working experiences. To get extra details on Labuan Offshore Company please look at https://www.cstcl.com.my/labuan-tax
Labuan Trust Company doesn’t seek for submission of tax quote, and therefore there doesn’t arise any demand for tax penalty for differences over 30% on quote tax payable and real tax payment. The operation cost including rent and workforce is comparatively low as it pertains to other important cities in Asia. An added benefit is that Labuan is strategically near many regional financial centers including Hong Kong and Singapore.