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 Income Tax Issues v2

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haicaramba
post Dec 5 2013, 09:50 AM

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Would like to ask all the sifus here for some company tax issues...

I have set up an enterprise (sole-proprietorship) around half a year ago.
Up til now, my monthly turnover is around 200k, with profit around 5-10%.
Annually will be exceeding 2 mil and counting.
The thing is that, I have almost zero overhead - no office, no workers, no equipment, nothing.
It is just a 1-man-show trading company that I do on part-time basis (I'm a full-time office employee).
Am not sure how's the tax structure for businesses, trading company in particular.
I had tried to search online but the info available is either limited or not relevant.

Is there any ways that I can minimize the company tax legally?
Should I employ some 'workers'? Rent an 'office'?
Coz from the way I look at it now, it's going to be the maximum 26% mega_shok.gif
Paying 26k for every 100k is really painful wacko.gif
I'm already in the 19% tax bracket from my employment salary.

I have been keeping all the receipts of meals & petrol since setting up the company, but am not too sure on the claimable %%%

I heard that for enterprises, the tax is to be filed in together with our employment salary, therefore, there isn't much "space" to play around.... is it true?

Is it better to set up an LLP or Sdn Bhd for my current case?

TQ in advance & any constructive feedback is appreciated.
haicaramba
post Dec 10 2013, 04:41 PM

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Any rule of thumb on when one should shift to Sdn Bhd from Enterprise?
haicaramba
post Dec 12 2013, 09:34 AM

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QUOTE(klthor @ Dec 11 2013, 04:58 PM)
SME tax rate is flat 20% (up to 500k profit) compare to individual schedule up to 26%.

eg. 100k profit for SME = 20k
100k profit for enterprise = 14k ish~~

and for your info, changing into sdn bhd is never gonna save you anything. with accounting, audit, tax agent, and company sec fee judging from your turnover rate can easily hit 5k~10k + - sdn bhd is when u wanna expand, not when u wanna save cost or tax planning.
*
Thanks all the bros for your inputs smile.gif
Really appreciate them.

Just found out that apparently I don't need to declare my enterprise earning for year 2013 rclxm9.gif (don't ask why)
So still got more than 1 yr for me to plan. Start afresh for year 2014 biggrin.gif

Will definitely follow this forum from time to time thumbup.gif


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