My father’s company has around RM 100,000 in the bank account. If he withdraws RM 80,000 in one go from the company’s bank account and transfers it to his personal savings account, is there any issue?

He is the only shareholder of the company.

SOLE PROPRIETOR company


Not sdn bhd company.....

He plans to deposit the amount from his bank account into his EPF (KWSP) account because he's already over age 55. This way, he can earn higher interest and withdraw funds anytime.


We want to ensure the transfer from the company to his personal account is documented correctly to avoid any potential tax or legal issues.


Should we ask the accountant to record this withdrawal under a specific name or description?


# Calculating interest on RM 80,000 at 6%

principal = 80000
interest_rate = 6 / 100

# Calculating the interest amount

interest_amount = principal * interest_rate



RM 4800 interest !!

This post has been edited by plouffle0789: Yesterday, 03:12 AM

Maybe it can be transfer as dividend?

You need to create expenses receipt for the above transaction. It can be for the following company expenses

- Entertainment cost
- Travelling cost
- Rental cost

etc

but everything paid out from company account must have an accompanying receipt with the exact amount transferred.

if the company need to submit audited report every year then talk with your accounting ppl and do the needeful entries so that u got get wierd queries later

you said not sdn bhd company. and its impossible to be bhd or LLP with sole shareholder

therefore it is sole proprietorship right? sole proprietorship don’t need supporting for withdrawals.

there is a specific box for capital withdrawals under the form B tax filing form

So just write " capital withdrawals" is ok?

Need to have black and white what is the transaction for.
Or else is considered as swindling money out.

Can just write capital withdrawals ?

Just normal withdrawal transaction will do since it is not sdn bhd

Bro u teach ppl how to evade tax openly in forum? It is illegal bro Hahahah

This post has been edited by foofoosasa: Nov 14 2024, 06:37 AM

Sole prop tak payah kisah la. You are not really company. Tax rate also follow normal rates and not company rates.

How much is the normal rate and company rates?

Now just the boss which is the only shareholder want to put in own KWSP only ....

Not go for travel or entertaiment....

Accountant : what is the purpose? Where is the receipt of proof? For claim? Receipt please, what is this what is that? U cannof produce proof, i wont endorse your audited report.
Saw many did the same for personal gain, in the long run, company slowly dying because lack of cash.

This post has been edited by Rorschach85: Nov 14 2024, 07:18 AM

Record bonus or allowance

Is it only sdn bhd have audited report?

My father only hire accountant for LHDN filling ...

if the money generated 90k is from last year or more, which already being paid profit tax, that money is consider paid tax money , clean money , that you can do whatever you want it is legal,
if the money earn is a new money this year, and not yet pay tax. then putting money into epf there is a cap of that how much will only be deductable.

key point is as long as that money in the pass already pay tax, then no need consider or worry about tax,

Just ask accountant filling lhdn as director allowance or dividend?

Nothing wrong for enterprise to have audited report.
Since its enterprise, your daddy money = company money either way will kena taxed anyways.
Don't know how LHDN will see it.

This post has been edited by Rorschach85: Nov 14 2024, 07:31 AM

Is the audited report only used for LHDN tax filing?

My father just uses a blue pen to write all received (business transactions) and outgoing (payments to suppliers) money transactions in a big book.

He does not know how to use a computer.

We hire an accountant for tax filling LHDN only.

This post has been edited by plouffle0789: Nov 14 2024, 07:35 AM