Labuan Company Setup

Labuan is quite famous and interesting place and is  a part of  Malaysia located in the state of Sabah. It has been given its own freedom to look after its own business. It enjoys many good things from Malaysian Jurisdiction as well in which one is low tax benefits.


Have you ever thought of formation of a company in Labuan? So here are some important things which you should know before starting off in Labuan.


A Labuan company is one of the outstanding organization for business which is formed in a low tax sovereignty. All the companies able to possess Malaysia employment visas for staff and this is the main plus point  to set up business on this island.  Before 26 years, Labuan has been formed as an international offshore financial and banking center. Malaysia offers tax rate of less than 3% for this island.  Labuan company is allowed to trade at the rate of 25% (which is similar to that off Malaysian local companies tax rate) with Malaysian company or Malaysian residents. They also need to report the transaction to the concerned Labuan authorities.


However, Registering a company in Labuan is a good way to show tax-exempt in managing areas of offshore banking, insurance, investment holding, trust and fund management but only if its neatly structured. Labuan is one of the answer for setting up the offshore company, to the investors who eagerly waits to make an entry in the Malaysian market.


Here are few more advantages which includes :

  • Malaysian business can be owned by the Foreigners i.e.100% Control and Ownership
  • Enjoy low tax rate 3% of total inspected profits or RM20,000 fixed tax
  • Needed only one same director and one same shareholder.
  • Dividend or fee for Director is non-taxable.
  • Legislation of Labuan has stable law and will not change until many years.
  • You will be saved from Double taxation i.e. Double Taxation Agreement, DTAs.
  • There is no need of audit or tax for the investment holding company
  • Permit for many Trades is not required for many businesses.
  • To operate with the Ringgit Malaysia or currencies of any other foreign countries bank accounts is easy.
  • Availability of visa for you and your family for 2 years of business (and visa also can be extended to the parents)


Are you ready to form a new company in Labuan? You can start the business in Labuan but you need to join us so that we will assist you in forming up your business.Steve & Co Asia team is an experienced and professional team which will provide you all the solutions that includes accounting, taxation, secretarial and marketing related to your business to set up in Labuan. We are here providing the complete service packages for you to build up your dream without any tension and no problems with few things like the application of business licenses, selection of company names, also to set up the business.

Do you want to know more about Labuan Company Registration? Please contact us at  and clear your mind from all queries and start you business at once.

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