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Why is Malaysia an attractive jurisdiction for investors from China, Taiwan, and Hong Kong?
Malaysia offers a stable political and legal environment, a familiar business culture, and strong protection for foreign investors. English is widely used, and there is an established Chinese-speaking business community, making it easy for Greater China investors to set up and operate businesses smoothly.
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Can foreign investors fully own a company in Malaysia?
Yes. In most industries, 100% foreign ownership is permitted, with no local shareholder requirement. Depending on the regulatory framework governing the specific industry, foreign investors are allowed to form corporate structures such as fully foreign-owned subsidiaries, parent holding entities, or regional business operations.
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What tax advantages does Malaysia offer?
Malaysia adopts a territorial tax system, where only income derived from Malaysia is subject to tax. Foreign-sourced income may be exempt, subject to prevailing tax regulations. Corporate tax rates are competitive, and various tax incentives and investment allowances are available for qualifying activities.
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How easy is it to set up and maintain a company in Malaysia?
Company incorporation in Malaysia is straightforward and efficient, with clear regulatory requirements. Ongoing compliance obligations such as annual returns, financial reporting, and tax filings are well-defined and manageable, especially compared to more heavily regulated jurisdictions.
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Can a Malaysian company support immigration and employment needs?
Yes. A Malaysian company may apply for work permits and employment passes for foreign directors and key personnel, subject to eligibility criteria and regulatory approvals. This makes Malaysia suitable for investors who wish to relocate management, establish regional teams, or station expatriates to support ASEAN operations.