A Labuan protected cell company (PCC) may be incorporated as a Labuan company or converted from an existing Labuan company. A Labuan PCC is a limited liability company with a legal entity that has the ability to form “cells”.

The cells of a Labuan PCC may comprise:

  • A core for holding non-cell assets or general assets; and
  • Any number of cells with the intention of segregating and protecting the assets of each respective cell.

Neither the core nor the individual cells created are separate legal entities but nonetheless, each cell is legally separated from any other cell and each has sufficient attributes to carry on business independently under the “umbrella” of the Labuan PCC.

Key Features of a Labuan PCC

Labuan PCC

Corporate Details

General

  • Type of entity:

PCC

  • Our time to establish a new company:

2 weeks

  • Tax

15%

  • Number of Cells

Unlimited

  • Continuation from IBC

Yes

  • Registered Office

Yes

Share capital or equivalent

  • Standard currency:

US$

  • Minimum paid up:

Unimpaired by losses of RM500,000

  • Shares types

Cellular and non-Cellular

Directors

  • Minimum number:

Two

  • Corporate Director

Not Allowed

  • Local required:

No

  • Publicly accessible records:

Yes

  • Location of meetings:

Any where

Company Secretary

  • Required:

Yes

Annual Accounts, Audit, Return

  • Requirement to prepare:

Yes

  • Audit requirements:

Yes

  • Permitted Business Activities
  • Insurance
  • Mutual Funds
  • Any other business activity approved by SIBA

Labuan PCC Distinctive Benefits

  • Audit is not compulsory (for certain activities)
  • 0% indirect tax (such as Sales Tax, Service Tax, GST, VAT and Custom Duty)
  • 0% Personal Income Tax for Non-Malaysian Director
  • 0% Stamp Duty – Labuan is a free tax port
  • Tax Residency Certificate available for Company and Individual Shareholder.
  • 50% Exemption on Gross Employment Income for Non-Malaysian Managers
  • No further tax on dividend remitted back to home countries.

The Valsen Advantage

  • Speedy, Efficient and consistent Services.
  • Relentless effort to obtain bank accounts.
  • Expert advice on structuring options.
  • Dedicated ongoing compliance support.