Back to Section 6
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Section 6: Starting a Business
Business Taxes and SST Basics
Tax obligations for businesses
Business taxes you need to know:
Businesses must pay taxes. The type depends on your business structure.
Corporate Tax:
- For Sdn Bhd companies
- Rate: 15-24%
- File annually with LHDN
SST (Sales and Service Tax):
- Sales tax: On manufactured goods
- Service tax: On specific services
- Register if turnover > RM500,000
How to file taxes:
- Keep proper records
- Prepare financial statements
- File with LHDN
- Pay tax due
Important numbers:
- LHDN: 03-8911 1000
- Website: hasil.gov.my
Frequently Asked Questions
When do I need to register for SST?
When your annual taxable turnover exceeds RM500,000. Voluntary registration is allowed if below threshold.
What expenses can I claim for tax?
Wholly incurred for business: rent, salaries, utilities, marketing, etc. Personal expenses not claimable.
What if I file late?
Penalties apply: 10% fine on tax owed + possible legal action. File on time to avoid penalties.
Do I need a tax agent?
Not mandatory but recommended for Sdn Bhd. Sole proprietors with simple businesses can file themselves.
Last updated: March 2026
Disclaimer: This guide provides general information only. Always verify with official sources for the most current information.