Accounting Standard for Sdn Bhd Company

The Malaysian Accounting Standards Board (MASB) has the Malaysian Private Entities Reporting Standard (MPERS) to be adopted for all Sdn Bhd Companies.

The MPERS defines a private entity as a private company under the Companies Act 2016 that is not a company required by the Securities Commission or Bank Negara to prepare or lodge any financial statements. In addition, a private entity is not a subsidiary or associate of, or jointly controlled by, an entity that is required by the Securities Commission or Bank Negara to prepare or lodge any financial statements. Please refer Accounting standard for Malaysian SMEs to include latest improvements for more information on MPERS accounting standard.

MPERS allows private entities the option of revaluing property, plant, and equipment. Private entities that are applying the revaluation model under the existing Private Entities Reporting Standards will certainly welcome this amendment because they can continue applying the revaluation policy when they adopt the MPERS.

Financial Year for Sdn Bhd Company

The company has to get ready for the financial report to be audited irrespective of any profit and loss account of the company to be laid before it at a general meeting is made up, whether that period is a year or otherwise. The companies with an annual turnover less than RM300,000 any profit and loss account of the company does not require an audit.

The Company Act 2016 permits the owner of the company to decide on the financial year shall commence or end, the decision to determine the financial year, including any changes thereof, is entirely at the discretion of the company.

For a new company that required to hold its first Annual General Meeting (AGM) within 18 months of its incorporation and this mean that the first accounting period should not more than 18 months. Thereafter yearly will be 12 months period.

Most companies use either the end of the calendar year (December 31) or the end of any of the quarter (March 31, June 30 or September 30) as their fiscal year end date.

Estimate Fee for Bookkeeping Service Fee in Malaysia for Sdn Bhd Company on MPERS Standard 

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