Strategic Opportunity for Companies and Directors to Settle Outstanding Compounds
View Full Size
SSM 2025 Compound Reduction Incentive: Strategic Opportunity for Companies and Directors to Settle Outstanding Compounds
In 2025, Companies Commission of Malaysia (SSM) introduced new initiative offering a 95% compound reduction incentive to help companies and their directors to settle outstanding compounds. This move is in line with the government's effort to promote corporate compliance, ease the financial burden on businesses, and facilitate the closure of inactive companies through a streamlined process.
Compound Reduction and Striking Off Initiative
This incentive is part of a campaign introduced under the Moratorium Period from 16 April 2025 to 30 September 2025. Companies that are no longer in operation and wish to strike off their names with SSM under Section 550 of the Companies Act 2016 can now do so with up to 95% reduction in compound fines. This initiative is designed to encourage corporate responsibility while enabling companies to formalize closure without being hindered by high compound amounts that may have accumulated over time.
Who can Apply for the incentive?
To qualify for the incentive, companies must meet the following conditions:
* Have ceased business operations and do not intend to operate business.
* No assets, liabilities, or outstanding charges.
* No outstanding tax or other liabilities with any Government Department or Agency.
* Must not be a holding company.
* Is not a housing developer.
* Is not a Guarantor Corporation
Applications must be submitted with a fee of RM100, along with supporting documents such as the latest management accounts, directors’ resolution, and consent letters from shareholders where required.
Appeal for Compound Reduction
Companies with outstanding compound fines must submit a formal written appeal to SSM.
Encouragement to Directors
SSM strongly encourages company directors to take advantage of this limited-time to settle outstanding compounds and ensure full regulatory compliance. This will help them to avoid potential legal consequences and make it easier to close down companies that are no longer in use with SSM. It’s important to act quickly, as the moratorium period ends on 30 September 2025.
Conclusion
SSM compound reduction initiative offers a valuable opportunity for companies and their directors to resolve past non-compliance regulation at a significant lower cost. This initiative reflects SSM’s commitment to supporting businesses and maintaining high standards of corporate governance.Directors are encouraged to act promptly to take advantage of this incentive before the deadline.
𝐕𝐢𝐬𝐢𝐭 𝐮𝐬
Wisma 𝐓𝐇𝐊, 41, Jalan Molek 1/8, Taman Molek, 81100 Johor Bahru
Wisma 𝐊𝐓𝐏, 53 Jalan Molek 1/8, Taman Molek, 81100 Johor Bahru
𝐓𝐇𝐊 (𝐒𝐞𝐜𝐫𝐞𝐭𝐚𝐫𝐢𝐚𝐥, 𝐀𝐜𝐜𝐨𝐮𝐧𝐭/𝐏𝐚𝐲𝐫𝐨𝐥𝐥, 𝐀𝐝𝐯𝐢𝐬𝐨𝐫𝐲)
A licensed secretarial firm in Johor Bahru providing fast reliable incorporation, secretarial services, corporate compliance services, outsource booking, accounting and payroll services to clients
Website www.thks.com.my
Facebook https://bit.ly/42XKWsk
Instagram https://bit.ly/42Uqf0e
Linkedin https://bit.ly/3EH885M
𝐊𝐓𝐏 (𝐀𝐮𝐝𝐢𝐭,𝐓𝐚𝐱, 𝐀𝐝𝐯𝐢𝐬𝐨𝐫𝐲)
An approved audit firm and licensed tax firm operating under the KTP group based in Johor Bahru providing audit, tax planning, advisory and compliance services to clients
Website www.ktp.com.my
Instagram https://bit.ly/3Rko5kN
Linkedin https://bit.ly/3sapf4l
Telegram http://bit.ly/3ptmlpn
𝐊𝐓𝐏 𝐋𝐢𝐟𝐞𝐬𝐭𝐲𝐥𝐞
An internal community for our colleagues on work and leisure.
Tiktok http://bit.ly/3u9LR6Q
Youtube http://bit.ly/3ppmjyE
Facebook http://bit.ly/3ateoMz
Instagram https://bit.ly/3jZpKLo
𝐊𝐓𝐏 𝐂𝐚𝐫𝐞𝐞𝐫
An external job community on vacancy in Johor Bahru for interns, graduates & experienced candidates.
Instagram https://bit.ly/3u2PxHg
Facebook http://bit.ly/3rPxz9o
#KTP #Thk
#Myktp
#ktplifestyle
#ktpcareer
#24years
In 2025, Companies Commission of Malaysia (SSM) introduced new initiative offering a 95% compound reduction incentive to help companies and their directors to settle outstanding compounds. This move is in line with the government's effort to promote corporate compliance, ease the financial burden on businesses, and facilitate the closure of inactive companies through a streamlined process.
Compound Reduction and Striking Off Initiative
This incentive is part of a campaign introduced under the Moratorium Period from 16 April 2025 to 30 September 2025. Companies that are no longer in operation and wish to strike off their names with SSM under Section 550 of the Companies Act 2016 can now do so with up to 95% reduction in compound fines. This initiative is designed to encourage corporate responsibility while enabling companies to formalize closure without being hindered by high compound amounts that may have accumulated over time.
Who can Apply for the incentive?
To qualify for the incentive, companies must meet the following conditions:
* Have ceased business operations and do not intend to operate business.
* No assets, liabilities, or outstanding charges.
* No outstanding tax or other liabilities with any Government Department or Agency.
* Must not be a holding company.
* Is not a housing developer.
* Is not a Guarantor Corporation
Applications must be submitted with a fee of RM100, along with supporting documents such as the latest management accounts, directors’ resolution, and consent letters from shareholders where required.
Appeal for Compound Reduction
Companies with outstanding compound fines must submit a formal written appeal to SSM.
Encouragement to Directors
SSM strongly encourages company directors to take advantage of this limited-time to settle outstanding compounds and ensure full regulatory compliance. This will help them to avoid potential legal consequences and make it easier to close down companies that are no longer in use with SSM. It’s important to act quickly, as the moratorium period ends on 30 September 2025.
Conclusion
SSM compound reduction initiative offers a valuable opportunity for companies and their directors to resolve past non-compliance regulation at a significant lower cost. This initiative reflects SSM’s commitment to supporting businesses and maintaining high standards of corporate governance.Directors are encouraged to act promptly to take advantage of this incentive before the deadline.
𝐕𝐢𝐬𝐢𝐭 𝐮𝐬
Wisma 𝐓𝐇𝐊, 41, Jalan Molek 1/8, Taman Molek, 81100 Johor Bahru
Wisma 𝐊𝐓𝐏, 53 Jalan Molek 1/8, Taman Molek, 81100 Johor Bahru
𝐓𝐇𝐊 (𝐒𝐞𝐜𝐫𝐞𝐭𝐚𝐫𝐢𝐚𝐥, 𝐀𝐜𝐜𝐨𝐮𝐧𝐭/𝐏𝐚𝐲𝐫𝐨𝐥𝐥, 𝐀𝐝𝐯𝐢𝐬𝐨𝐫𝐲)
A licensed secretarial firm in Johor Bahru providing fast reliable incorporation, secretarial services, corporate compliance services, outsource booking, accounting and payroll services to clients
Website www.thks.com.my
Facebook https://bit.ly/42XKWsk
Instagram https://bit.ly/42Uqf0e
Linkedin https://bit.ly/3EH885M
𝐊𝐓𝐏 (𝐀𝐮𝐝𝐢𝐭,𝐓𝐚𝐱, 𝐀𝐝𝐯𝐢𝐬𝐨𝐫𝐲)
An approved audit firm and licensed tax firm operating under the KTP group based in Johor Bahru providing audit, tax planning, advisory and compliance services to clients
Website www.ktp.com.my
Instagram https://bit.ly/3Rko5kN
Linkedin https://bit.ly/3sapf4l
Telegram http://bit.ly/3ptmlpn
𝐊𝐓𝐏 𝐋𝐢𝐟𝐞𝐬𝐭𝐲𝐥𝐞
An internal community for our colleagues on work and leisure.
Tiktok http://bit.ly/3u9LR6Q
Youtube http://bit.ly/3ppmjyE
Facebook http://bit.ly/3ateoMz
Instagram https://bit.ly/3jZpKLo
𝐊𝐓𝐏 𝐂𝐚𝐫𝐞𝐞𝐫
An external job community on vacancy in Johor Bahru for interns, graduates & experienced candidates.
Instagram https://bit.ly/3u2PxHg
Facebook http://bit.ly/3rPxz9o
#KTP #Thk
#Myktp
#ktplifestyle
#ktpcareer
#24years
