Understanding the Tax Rate Differences Between Sole Proprietorship (Enterprise) and Private Limited Company (Sdn Bhd) 了解独资企业（企业）和私人有限公司（Sdn Bhd）之间的税率差异
Understanding the Tax Rate Differences Between Sole Proprietorship (Enterprise) and Private Limited Company (Sdn Bhd)
It’s common to have questions about the tax distinctions between Enterprise (sole proprietorship) and Sdn Bhd (private limited company). Let’s break down the key differences in their tax treatment:
Sole Proprietorship (Enterprise)
Income Tax: Not subject to corporate tax. Instead, the business income is added to the personal income of the sole proprietor or partners.
Personal Income Tax Rates:
Minimum: 0%
Maximum: 30%
Private Limited Company (Sdn Bhd)
Corporate Tax: Sdn Bhd companies pay a lower corporate tax rate, with rates based on taxable income:
First RM600,000: 17%
Income above RM600,000: 24%
SME Advantage: These rates are particularly favorable for small and medium-sized enterprises (SMEs).
Example Comparison
If your income is RM250,000, here’s how taxes compare:
Enterprise: Tax payable is RM46,700 (using personal tax rate).
Sdn Bhd: Tax payable is only RM42,500 (17% on RM250,000).
Why Switch to Sdn Bhd?
If your income exceeds RM250,000, converting to an Sdn Bhd can save you money, as the Sdn Bhd’s tax rate of 17% is lower than the personal tax rate of 21% applied to enterprises at similar income levels.
Converting to an Sdn Bhd can lead to substantial tax savings as your business grows, offering you greater tax efficiency and long-term financial benefits.
It’s common to have questions about the tax distinctions between Enterprise (sole proprietorship) and Sdn Bhd (private limited company). Let’s break down the key differences in their tax treatment:
Sole Proprietorship (Enterprise)
Income Tax: Not subject to corporate tax. Instead, the business income is added to the personal income of the sole proprietor or partners.
Personal Income Tax Rates:
Minimum: 0%
Maximum: 30%
Private Limited Company (Sdn Bhd)
Corporate Tax: Sdn Bhd companies pay a lower corporate tax rate, with rates based on taxable income:
First RM600,000: 17%
Income above RM600,000: 24%
SME Advantage: These rates are particularly favorable for small and medium-sized enterprises (SMEs).
Example Comparison
If your income is RM250,000, here’s how taxes compare:
Enterprise: Tax payable is RM46,700 (using personal tax rate).
Sdn Bhd: Tax payable is only RM42,500 (17% on RM250,000).
Why Switch to Sdn Bhd?
If your income exceeds RM250,000, converting to an Sdn Bhd can save you money, as the Sdn Bhd’s tax rate of 17% is lower than the personal tax rate of 21% applied to enterprises at similar income levels.
Converting to an Sdn Bhd can lead to substantial tax savings as your business grows, offering you greater tax efficiency and long-term financial benefits.
了解独资企业（企业）和私人有限公司（Sdn Bhd）之间的税率差异
人们对企业（独资企业）和私人有限公司（私人有限公司）之间的税收区别有疑问是很常见的。让我们来分析一下他们税收待遇上的主要差异：
个人独资企业（企业）
所得税： 无需缴纳公司税。相反，营业收入会添加到独资经营者或合伙人的个人收入中。
个人所得税税率：
最小值：0%
最高：30%
私人有限公司（Sdn Bhd）
公司税：Sdn Bhd 公司支付较低的公司税率，税率基于应税收入：
首 RM600,000：17%
收入超过 RM600,000：24%
中小企业优势：这些税率对中小企业（SME）特别有利。
示例比较
如果您的收入为 RM250,000，税收比较如下：
企业：应缴税款为 RM46,700（使用个人税率）。
Sdn Bhd：应缴税款仅为 RM42,500（RM250,000 为 17%）。
为何转至 Sdn Bhd？
如果您的收入超过 RM250,000，转换为私人有限公司可以为您节省金钱，因为私人有限公司的 17% 税率低于适用于类似收入水平企业的 21% 个人税率。
随着您的业务发展，转换为私人有限公司可以节省大量税收，为您提供更高的税收效率和长期财务利益。
Dec 14,2024