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40,000 New Companies To Get Discounts On Incorporation Fees
KUALA LUMPUR, April 7 (Bernama) -- Some 40,000 newcompanies expected to be incorporated this year will gain from the 15 per centdiscount given by the Companies Commission of Malaysia (CCM) on incorporationfees effective this month.
Minister of Domestic Trade, Cooperatives and ConsumerismDatuk Seri Ismail Sabri Yaakob said the reduction for setting up thenew companies with authorised capital of less than RM1 million, will furtherencourage the establishment of small and medium sized industries.
"Thetemporary reduction in fees scheduled from April 1 to end of December this year is an initiative by CCM to continue to supportSMIs in grabbing the business opportunities opened up by the government.
"Thediscount will also encourage growth of new businesses, help with reducing business setting up costs and also for therestructure of businesses," he said when announcing the changes made by CCM tofacilitate easier business operations in Malaysia, at Menara SSM here Wednesday.
Ismail Sabrisaid that with the new fees, a company with an authorised capital of more than RM500,000 but not exceeding RM1million will have to pay RM4,250 compared with RM5,000 previously.
He said theCCM also found that 95 per cent of new companies incorporated in the last three years were companies with authorisedcapital of less than RM1 million.
Thestatistics also relates to the total number of SMI companies that encompass 99.2 per cent of total companies incorporatedin Malaysia.
"Thereduction in fees is in line with government aspirations to encourage SMI growth and it also acknowledges the important roleplayed by SMIs in offering 56 per cent of job opportunities in the countryand contributing 37 per cent to its gross domestic product," he said.
Ismail Sabrialso said the fee reduction will bring down the income of CCM by RM19 million.
However, thenew package is part of CCM's social service together with the government to reduce the burden of the people, he added.--BERNAMA
