AUDIT

KNOWLEDGE BASE

Audit

In Malaysia, a company can apply for audit exemption if it meets certain criteria outlined by the Companies Commission of Malaysia (SSM).

These criteria include:

1) Dormant Companies (Effective For FYE After 31/01/2017)

(a) it has been dormant from the time of its incorporation; or
(b) it is dormant throughout the current financial year and in the immediate preceding financial year.

2) Zero-Revenue Companies (Effective For FYE After 31/12/2017)

(a) it does not have any revenue during the current financial year;
(b) it does not have any revenue in the immediate past two financial years; and
(c) its total assets in the current Statement of Financial Position (FS) does not exceed RM300,000 as well as in the FS of the immediate past two financial years.

3) Threshold-Qualified Companies (Effective For FYE After 30/06/2018)

(a) it has revenue not exceeding RM100,000 during the current financial year and in the immediate past two (2) financial years;
(b) its total assets in the current Statement of Financial Position (FS) does not exceed RM300,000 and in the immediate past two (2) financial years; and
(c) it has, at the end of its current financial year and in each of its immediate past two (2) financial years, not more than five (5) employees.