eKTP 92

Companies Commission of Malaysia (SSM) - Change of Financial Year End

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Usually, a company will change its year end due to the following reasons:

a) To coincide with the financial year of its holding company;
b) Pursuant to a change of its internal operations or policy.
 
If a company change its financial year end, it is still require to strickly observe the requirements relating to the circulation and lodgement of the Financial Statements.

The requirements of the statutory filing deadlines of the financial statements after the change are determine based on the Constitution of the Company (if any) and generally, the deadlines are as follows based on the Companies Act 2016:

1. Circulation of Audited Accounts


The audited accounts must be circulated to the members within 6 months from the financial year end of the Company.

Non compliance : Company and every directors liable to a fine ≤ RM50,000 and for continuing offence, a further fine of RM500 per day.


2. Lodgement of Financial Statements


After circulation, the company must lodge a copy of the financial statements with the Companies Commission of Malaysia within 30 days from the date of circulation.

Non compliance : Company and every directors liable to a fine ≤ RM50,000 and for continuing offence, a further fine of RM1,000 per day.

A company which is incorporated before the commencement of the CA 2016, the basis to determine the deadline are as follows depending on the provisions of its constitution:

a) Company is required to hold AGM in every calender year
b) The AGM must be hold within 15 months after the holding the last preceding AGM;
c) Company must lay its financial statements during the AGM where the financial statements is made up to a date not more than 6 months before the date of the AGM; and
d)The financial statements must be laid at an interval of not more than 15 months.

Therefore, a proper planning must be exercised to ensure that the above are complied with.