Skip to content
Labuan (Malaysia) flag

Labuan (Malaysia) company help: answers by topic

10 answers for owners and founders of a Labuan (Malaysia) company, from ordering to banking, annual compliance and what happens after incorporation. General information, not legal or tax advice; your specialist confirms how it applies to you.

Share this page

Getting started

Do my documents need to be certified for a Labuan company?

Usually yes. The Labuan trust company that files your company runs its own checks and normally asks for passport and address copies certified by a lawyer, notary or accountant. Malaysia is not a party to the Apostille Convention, so where documents from abroad must be legalised, we tell you which route the trust company accepts before you start.

Certification and apostille

Source: Status table: Apostille Convention, Hague Conference on Private International Law (HCCH)

Pricing & payment

Why does a Labuan company cost more than an offshore company?

Three things add cost: every Labuan company must be formed and run through a licensed Labuan trust company, trading companies need audited accounts for their tax return, and the low tax rate depends on staff and spending in Labuan. The package price covers the first; audit and substance are quoted separately once we know your activity.

See every package and price

Source: Labuan Business Activity Tax (Requirements for Labuan Business Activity) Regulations 2021, Attorney General's Chambers of Malaysia, via Labuan FSA

Banking

Does my Labuan company have to bank in Labuan?

No. It can apply to banks in Labuan, elsewhere in Malaysia where their rules allow, or abroad, and to licensed payment institutions. The best choice depends on where your customers pay from and in which currency. We introduce suitable options and prepare the application; the bank decides.

Business account support

What should I prepare for a Labuan bank application?

The certificate and constitution, the ownership chart down to each individual owner, a short business plan, and proof of your Labuan substance, such as a staff contract or office agreement. Contracts or letters of intent with your main counterparties help. A clear link between the company, its Labuan presence and its money flows is what banks look for.

Business account support

Compliance

What happens if my Labuan company does not meet the substance test in a year?

It risks losing the 3% or 0% Labuan rate for that year and being taxed at a higher rate, and Labuan FSA may take action (confirm with your specialist). Check staff numbers and Labuan spending a few months before year-end, while there is still time to fix a gap. We review the figures with you each year before the tax return.

Accounting and audit

Source: Labuan companies: frequently asked questions, Labuan Financial Services Authority (Labuan FSA)

After incorporation

Can't find it? Ask a Labuan (Malaysia) specialist, reply within 1 business day.

Ask OCC

AI assistant · answers from OCC’s published prices & facts

You are chatting with an AI assistant · Chats are stored
More

Ask OCC is an AI assistant, not a person. Answers are written by an AI model from Anthropic (Claude), using our published prices and facts, and it can make mistakes. Answers are general information, not legal or tax advice. Please do not share passport, bank or card details; we remove numbers that look like them. We store chats, with those numbers removed, for 30 days, or 24 months if you send us an enquiry. Our staff may read them to improve answers and follow up on your interest; you can object at any time.

Hi, I’m the OCC assistant. Ask me anything about setting up a company: prices, directors, banking, documents. No sign-up needed.

Not legal or tax advice · Double-check requirements with a specialist