Latest Update From SSM: Practice Directive No. 10/2024

The Suruhanjaya Syarikat Malaysia (“SSM) (also known as Companies Commission of Malaysia (“CCM”)) has issued Practice Directive No. 10/2024, introducing audit exemptions for private companies starting from 1 January 2025!

A company that qualifies for audit exemption is not required to have its financial statements (i.e accounts) audited. Companies can benefit by not having to incur audit fees and spending time in arranging for an audit. However, they are still required to prepare and submit financial statements to the SSM in a prescribed format (see Section 4 below). 

1. WHAT DOES THIS MEAN?

Private companies can now qualify for audit exemptions if they meet at least two of these criteria over the current and past two financial years:

• Annual Revenue ≤ RM3,000,000
• Total Assets ≤ RM3,000,000
• Employees ≤ 30

Companies that qualify for audit exemption are not required to have their financial statements (i.e accounts) audited.

2. PHASED IMPLEMENTATION (2025-2027)

To ensure a smooth transition, the thresholds will increase progressively. Here’s the timeline:

Companies have to compare their figures against the thresholds above for the relevant year. If at least two of their figures exceed the thresholds, they are required to have their financial statements audited.

3. WHO DOES THIS AFFECT?

All private companies limited by shares. However, this Practice Directive does not apply to:

• Exempt private companies (“EPC”). These are private companies with less than 20 shareholders and none of whom is a corporation (company or limited liability partnership).
• Public companies
• Subsidiaries of public companies
• Foreign companies (companies incorporated outside Malaysia)

The abovementioned companies are required to have their financial statements audited whether or not they meet the audit exemption thresholds.

4. REQUIREMENT:

• Companies that qualify for audit exemption are still required to prepare and file unaudited financial statements with SSM in compliance with sections 258 and 259 of the Companies Act 2016.
• The unaudited financial statements prepared shall comply with the applicable approved accounting standards (i.e. Malaysian Private Entities Reporting Standards “MPERS” or Malaysian Financial Reporting Standards “MFRS”).

Please contact Crowe Malaysia if you need unaudited financial statements to be prepared in accordance with MPERS or MFRS.

5. TRANSITION PERIOD

This directive replaces Practice Directive 3/2017 for financial periods starting 1 January 2025. Prepare now to ensure compliance and leverage the new framework!

For more details, consult the directive or your corporate advisor. Stay ahead, stay compliant!

马来西亚公司委员会（SSM）最新消息：2024年第10号实践指令。

马来西亚公司委员会（Suruhanjaya Syarikat Malaysia “SSM”或称 Companies Commission of Malaysia “CCM”）已发布2024年第10号实践指令，自2025年1月1日起，为私人有限公司实行审计豁免！

符合审计豁免资格的公司无需对其财务报表（即账目）进行审计。这意味着公司无需支付审计费用和花时间安排审计。然而，公司仍需按照规定的格式准备财务报表并提交给SSM（详见第4部分）。

1. 这意味着什么？

如果私人有限公司在当前及过去两个财政年度内符合以下至少两项标准，即可享受审计豁免：

• 年收入 ≤ RM3,000,000
• 总资产 ≤ RM3,000,000
• 员工人数 ≤ 30

符合条件的公司无需对其财务报表进行审计。

2. 分阶段实施（2025-2027年）

为了确保平稳过渡，门槛标准将逐年提高。以下是具体时间表：

公司需将其财务数据与上述门槛进行对比。如果至少两项数据超出门槛，公司仍需雇审计师对其财务报表进行审计。

3. 本指令将影响哪些人？

符合条件的私人有限公司将受益于该豁免。以下情况不适用于：

• 豁免私营公司（“EPC”）: 指股东少于20名且无股东为企业（公司或有限责任合伙企业）；
• 上市公司;
• 上市公司的子公司;
• 外资公司（在马来西亚以外成立的公司）。

上述公司无论是否满足审计豁免门槛，均需对其财务报表进行审计。

4. 条件要求：

• 符合审计豁免资格的公司仍需根据 2016 年公司法第 258 和 259 条的规定，编制并向 SSM 提交未经审计的财务报表。
• 所编制的未经审计财务报表应符合适用的核准会计准则（即马来西亚私人实体报告准则 “MPERS” 或 马来西亚财务报告准则 “MFRS”）。

如过您需要按照MPERS或MFRS编制未经审计的财务报表，请联系我们Crowe Malaysia， 我们可以为您提供以上的服务。

5. 过渡期

本指令将取代实践指令 3/2017，并在2025 年 1 月 1 日的财务期间正式实践。立即做好准备，确保合规！

想了解更多详情，请参阅SSM指令或咨询您的企业顾问。走在合规的前沿！