Short answer. The most common Sdn Bhd compliance mistakes are missing or late SSM and LHDN filings, outdated director and address records, undocumented meetings and resolutions, mixing personal and company funds and ignoring tax or payroll registrations. A shared calendar, up-to-date registers and a regular review prevent most of them.
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In this article
- Missing or late annual filings
- Outdated director or address records
- Meetings and resolutions not documented
- Mixing personal and company funds
- Ignoring tax and payroll registrations
- No clear owner
- How to build a simple control routine
- Mistakes tied to published rules
- A quarterly self-review
- Frequently asked questions
Missing or late annual filings
The annual return, financial statements and tax returns all have deadlines. Companies miss them because nobody owns the calendar or because records are not ready. See what happens if the annual return is late.
Outdated director or address records
Directors resign, shareholders change and offices move, but the register and SSM records are not updated. The Act sets periods for notifying changes. Outdated records can also block later filings.
Meetings and resolutions not documented
Need this done for you? Axecta’s compliance health check team can handle this for your company. See the compliance health check service.
Decisions on share issues, loans, dividends or bank facilities should be backed by proper resolutions. Without them, the company may struggle to prove authority, and banks or auditors may raise questions.
Mixing personal and company funds
Paying personal bills from the company account, or business costs from a personal one, makes the books unreliable and raises tax issues. Record director transactions properly as loans, salary or dividends as appropriate. See accounting mistakes that create tax problems.
Ignoring tax and payroll registrations
Hiring staff without registering with KWSP and PERKESO, passing the SST threshold without registering, or missing e-invoice requirements can lead to penalties. Check obligations when the business changes. See employer payroll obligations.
No clear owner
When “everyone” is responsible, nobody is. Assign each recurring task to a named person, and keep a backup.
How to build a simple control routine
- Keep one compliance calendar. See the 2027 calendar.
- Update registers as events occur.
- Close the books monthly.
- Review the calendar and registers each quarter.
- Ask a company secretary and accountant to confirm the status once a year.
Axecta offers a compliance health check across secretarial, accounting and tax to find gaps and fix them.
Mistakes tied to published rules
| Mistake | Rule behind it |
|---|---|
| Missing the annual return window | Annual return within 30 days from the anniversary date, per SSM’s dialogue material; offence under sections 68 and 259 (SSM announcement) |
| No qualified secretary | Secretary within 30 days after incorporation; qualification under section 235 |
| Late CP204 | 30 days before the basis period for existing companies; fine of RM200 to RM20,000 or up to 6 months on conviction (LHDN CP204) |
| Late Form C | Within 7 months after the close of the accounting period (LHDN) |
| Missing SST registration | Thresholds by category on MySST |
| Ignoring e-invoice | Dates and exemption on LHDN’s timeline |
A quarterly self-review
- Pull the SSM company profile and confirm directors, address and secretary.
- Check that the next annual return, CP204 and Form C dates are in the calendar.
- Compare payroll liabilities with agency payments.
- Confirm SST and e-invoice status after the quarter’s turnover.
- Note and fix any gaps.
Frequently asked questions
What are common compliance mistakes?
Late filings, outdated records, missing resolutions, mixed funds and missed registrations.
How do I audit my own compliance?
Use the compliance checklist and compare it with your records.
Who is liable for mistakes?
The company and, in some cases, directors and officers under the Companies Act 2016.
How often should I review?
At least quarterly, and whenever the business changes. Axecta can run the review.
What is the most common mistake?
Missed or late filings, usually because no one owns the calendar.
Which mistakes are offences?
SSM states failure to lodge the annual return or financial statements is an offence under sections 68 and 259.
How often should I self-review?
Quarterly.
Worried something has been missed?
Axecta Management Services is a full-suite accounting, company secretarial and consulting firm in Kuala Lumpur, serving companies from SMEs to MNCs.
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Keep reading
- Sdn Bhd Compliance Checklist in Malaysia
- What Happens When a Company Misses a Filing Deadline?
- Annual Return vs Financial Statements: What’s the Difference?
- Signs Your Business Needs an Outsourced Accountant
- What Happens If a Company Fails to Submit Its Annual Return?
- Director Personal Liability in Malaysia: When a Director Can Be Held Personally Liable
- SST Late Filing and Payment Penalties in Malaysia: Rates, Offences and How to Fix a Miss
- Can You Change Your Company Secretary?
- Compliance Mistakes: the full guide
Official sources to check
This article is general information and not legal, tax or accounting advice for your company. Rates, thresholds, deadlines and procedures change, so confirm current requirements with the sources above or with Axecta.