Important Notice: Up to 95% Penalty Waiver by SSM for Dormant Companies!
The Companies Commission of Malaysia (SSM) has recently introduced a significant enforcement relief initiative aimed at encouraging companies that are no longer operating or conducting business to voluntarily apply for company deregistration.
This initiative offers up to 95% penalty waiver for eligible companies applying for deregistration under Section 550 of the Companies Act 2016.
Objectives of the Initiative:
- Encourage compliance and responsible business closure via legal means
- Help business owners reduce financial and administrative burdens
- Improve the accuracy and cleanliness of the Malaysian corporate registry
Companies that have been inactive for a long time and have accumulated penalties due to non-submission of statutory documents may risk mounting liabilities and continued responsibilities for directors. Taking timely action is a smart move for business owners.
Who Is Eligible?
The penalty waiver applies to companies that:
- Have ceased operations or have no intention of resuming business
- Have been penalized or compounded for non-compliance (e.g. failure to submit annual returns, financial statements, or update director/secretary changes)
- Voluntarily apply for deregistration under Section 550 of the Companies Act 2016
Application Deadline:
This waiver is only valid for complete applications submitted on or before 30 September 2025.
Key Application Criteria:
According to SSM guidelines, companies must meet the following conditions:
-No assets or liabilities at the time of application
-No need to submit a shareholder’s special resolution
-Must provide the latest Management Accounts to confirm the financial status
-Must not be a property developer (due to potential involvement in property title transfers)
⏰ Don’t miss out — apply before 30 September 2025 to enjoy this substantial penalty relief!
(201706002678 & AF 002133)